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LATEST NEWS UPDATES | Ways to ensure remunerative prices to farmers -A Amarender Reddy

Ways to ensure remunerative prices to farmers -A Amarender Reddy

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published Published on Sep 1, 2020   modified Modified on Sep 2, 2020

-Down to Earth

Several states have different levels of capabilities. Some states like Haryana and Punjab are historically in a better position to procure, while others like Bihar have limited capabilities

Farmers’ protests about low harvest prices were a recurrent issue during the harvest period. A record harvest of paddy and other crops was expected during this harvest period. Market arrivals begin from October and end until December across India.

Significant efforts from the Union and state governments are needed to make arrangements for ensuring remunerative prices.

The Union government took the policy decision to guarantee minimum support price (MSP) to cover at least 1.5 times the production cost if prices fall below it. Towards this end, the Centre announces MSP for 25 major agricultural commodities each year in both crop seasons.

Problems in implementation

The bigger challenge is for the announced MSP to be translated to real gain in farmers’ incomes. It is a gigantic task, needs significant budget allocations and support from state governments.

Several states have different levels of capabilities. Some states like Haryana and Punjab are historically in a better position to procure, while others like Bihar, Odisha and other eastern states have limited capabilities to procure.

Farmers in Haryana and Punjab, thus, receive higher prices than farmers in east Indian states for the same crops, including paddy and wheat. There were no proper procurement mechanisms for pulses, oilseeds and other crops — except paddy and wheat — since the Green Revolution.

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Down to Earth, 1 September, 2020, https://www.downtoearth.org.in/blog/agriculture/ways-to-ensure-remunerative-prices-to-farmers-73154?fbclid=IwAR3MAm5f2t-2a6BHddIkNL0951P-EYQdnULHGFB7e1qj5GRlFEpOiAudyfs


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