29/08/08

Paddy needs higer MSP

Paddy MSP is fixated at Rs 850 a quintal by the Govrnment, CACP recommended Rs 1000 per quintal taking into account increase in the cost of production. Even after commencement of Khariff season, MSPs as recommended by the CACP were unnecessarily referred to the members of EAC, who are no experts in determining agri prices. And the EAC came out with an astounding recommendation that Paddy does not require MSP of Rs1000 per quintal as the acreage under paddy has increased during this khariff season. Their recommendation has no reference to cost of production and risks involved in paddy cultivation. Hence sticking to MSP of Rs 850 is unreasonable and unfair to farmers as it does not even cover cost of cultivation.

2 comments:

Anonymous said...

Can you please comment on the Rice supply glut in the market which has evolved due to the

- higher procurement by the Central government

- Increasing the buffer quantity from 51 million tonnes to 61 million tonnes

- Hoarding by the traders in AP
- The terms like Hoarding etc were forgotten terms for the last 10 to 15 years; how come they have surfaced again

- If the price of rice is ruling at Rs. 30 a kg dont you think that you dont get the required support from the other sections of the society with teh fear that the MSP increase may incrase the ultimate price of rice still in steeper horizons

- without the support of the people can increase of 20 % in a sensitive issue like be acheived?

-Before just pressing for the increase in MSP the Farmers associations must also look after the other commercial elements that engulf this issue.

just try to get some feel of what makes rice price go so high. fathom it. I have given some ideas what i felt.

one thing is true without the support of people you can never acheive the price of paqddy to the levels that you require.

- with the present price of paddy ruling the market..you cannot even dream of asking publically as there will be a heavy back lash
some pragmatic thinking is necessary.

as like a normal farmers who feels that I am producing and the government must pay what is due to me.....this should not be the modus operandi of teh farmers organsations. You cannot just echo the words of the farmers. As a eglatarian and learned class in the farmers you should find ways and means, to acheive your issue, which are feasible and viable

I hope i made my point.

thank you

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kramasubbaredy said...

The burden of farmers' song is that even cost of production is not covered by the MSP for paddy now fixed.In contrast,consider the hike in pay of Babus unrelated to any increase in productivity or quality of service. On what basis and why the hike recommended by the Pay Panel is further increased by the government.Where from the payment will come? Is it not a burden on the public without quid-pro-quo? Why recommendations of NCF not implemented even after nearly 2 years and the Pay Panel recommendations implemented posthaste in 4 months?Even group "D"employees gets more monthly income than a big farmer as pointed out by the Arjun Sengupta Commission and the Standing Committee on Agriculture as well as the studies made by the NCF AND ANGRAU.Can this be economically justified?Can we underprice continuously an agri produce to benefit PDS? Is not higher market price for rice at Rs26 or more per kg on account of cross subsidy between PDS and release of rice to millers by the government for open sales,to procure rice for PDS at lesser cost therby making middle class pay for PDS, through their purchases in the open market at higher prices?Why is export of iron ore not banned even when steel prices are increasing and why export of rice is banned at the drop of a coin?Why cement is not imported when prices are raising and why edible oil import duties cut?The prices of cereals have increased by 7% in WPS compared to to over 18% increase in steel,cement and mineral oils.Who is suffering more onaccount of increase in prices; Producers of cereals or steel or cement or mineral oil manufacturers? These are the issues to be addressed on priority basis?Farmers deserve right value for their toil like every one else.Government actions should not make them feel excluded and left behind.