Lok Sabha Question No. 202 (STARRED), answered on 2018-01-02
Subject: Cultivation of Rabi Crops
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: NARANBHAI KACHHADIA, KUNWAR HARIBANSH SINGH

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE, COOPERATION & FARMERS WELFARE

## LOK  SABHA STARRED QUESTION NO. 202

TO BE ANSWERED ON THE 2 ND  JANUARY, 2018

## CULTIVATION OF RABI CROPS

*202.      SHRI NARANBHAI KACHHADIYA: KUNWAR HARIBANSH SINGH:

Will  the  Minister  of  AGRICULTURE  AND FARMERS WELFARE कृ ष एवं कसान कयाण ½ãâ¨ããè be pleased to state:

- (a) the details of the estimated production and acreage under cultivation of Rabi Crops during the current harvested season (2017-18) as compared to that of the last season, crop and State-wise;
- (b) whether the Government proposes to provide adequate incentives to the farmers for sowing Rabi crops and to procure their produce at higher price and if so, the details thereof;
- (c) whether the practice of unplanned sowing of crops is still prevalent in various parts of the country and if so, the details thereof along with the corrective measures taken by the Government in this regard; and
- (d) the  steps  taken/being  taken  by  the  Government  to  enhance  the  production  and acreage of crops in the country and discourage the import of agricultural produce?

## ANSWER

## MINISTER OF AGRICULTURE AND FARMERS WELFARE

कृ ष एवं कसान कयाण ½ãâ¨ããè

(SHRI RADHA MOHAN SINGH)

- (a) to (d): A statement is laid on the Table of the House.

## STATEMENT  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (d)  OF  LOK  SABHA STARRED QUESTION NO. 202    DUE FOR REPLY ON  2 ND  JANUARY, 2018.

(a): It  is  early  to  assess  the  acreage  and  production  of  rabi  crops for  ensuing rabi season 2017-18 as sowing is still in progress in some parts of the country.  As per the release calendar of advance estimates of crop production, the production and acreage of rabi crops are normally released in the month of February.

(b): The decision to increase MSPs  is based on the recommendations of Commission  for  Agricultural  Costs  and  Prices  (CACP).  While  recommending  MSPs, CACP takes into account the cost of production, overall demand-supply, domestic and international prices, inter-crop price parity, terms of trade between agricultural and nonagricultural  sectors,  the  likely  effect  on  the  rest  of  the  economy,  besides  ensuring rational  utilization  of  production  resources  like  land  and  water.    CACP  also  holds consultations  with  various  stakeholders  including  State  governments  and  farmers' organisations/representatives before finalizing its recommendations.

Government  fixes  Minimum  Support  Prices  (MSPs)  for  22  major  agricultural crops viz. Paddy, Jowar, Bajra, Maize, Ragi, Arhar, Moong, Urad, Groundnut-in-shell, Soyabean,  Sunflower,  Sesamum,  Nigerseed,  Cotton,  Wheat,  Barley,  Gram,  Masur (Lentil), Rapeseed/Mustard, Safflower, Jute and Copra and Fair & Remunerative Price (FRP)  for  Sugarcane  on  the  basis  of  the  recommendations  of  the  Commission  for Agricultural Costs & Prices (CACP), after obtaining the views of State Governments and Central Ministries/Departments concerned and other relevant factors.

To  ensure  remunerative  prices  to  farmers,  the  Government  has  increased Minimum Support Prices (MSPs) of Rabi Crops for 2017-18. In addition, Government has also announced bonus to incentivize farmers for production of Pulses and Oilseeds. Details of the MSPs of rabi crops fixed by the Government are given at Annexure-I.

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Besides, the Price Stabilization Fund (PSF) has been created to protect farmers from  volatility  in  prices  of  agricultural  products  and  is  operated  by  Department  of Consumer Affairs  w.e.f.  1 st April,  2016.  The  fund  provides  for  maintaining  a  strategic buffer  of  agricultural  commodities  for  calibrated  releases  to  moderate  price  volatility, discourages  hoarding  and  unscrupulous  speculation.    Under  the  Price  Stabilization Fund (PSF),  procurement  for  central  buffer  is  undertaken  at  market  prices  or  MSPs, whichever is higher besides supplementation through imports.

In addition to PSF, to protect the interest of the farmers, Government implements Price Support Scheme (PSS) for procurement of pulses, oilseeds and cotton through Central  Nodal  Agencies  at  the  MSP  wherein  State  Agencies  play  a  major  role.  This scheme  is  implemented  at  the  request  of  the  State  Governments  concerned,  which agree to exempt the procured commodities from levy of mandi tax, assist procurement Agencies  in  logistic  arrangements  including  gunny  bags,  provide  working  capital  for State Agencies and creation of revolving fund for PSS operations etc. as required under the Scheme guidelines. The basic objectives of PSS are to provide remunerative prices to  the  growers  for  their  produce  with  a  view  to  encourage  higher  investment  and production and to safeguard the interest of consumers by making available supplies at reasonable price with low intermediation costs.

Government also implements Market Intervention Scheme (MIS) for procurement of  agricultural  and  horticultural  commodities  not  covered  under  the  Minimum  Support Price  on  the  request  of  State/UT  Governments.  The  MIS  is  implemented  in  order  to protect the   growers     of these commodities from making distress sale in the event of

-4- bumper crop when the prices tend to fall below the economic level/cost of production. Losses,  if any, incurred by  the procuring  agencies  are  shared  by  the Central Government  and  the  concerned  State  Government  on  50:50  basis  (75:25  in  case  of North-Eastern States).

(c): Farmer's decision on the choice of crops to be planted depends upon a number of factors and to help them in making proper choices, advisories are issued from time to time and MSPs announced before the sowing season.

The Ministry of Agriculture & Farmers Welfare organizes National Conferences on  Kharif  &  Rabi  campaign  before  each  crop  season  with  the  State  Government officials, research  scientist and  extension  functionaries to formulate strategy for cultivation of kharif & rabi crops.  Besides, the State-level targets for production of crops are decided before the crop season.

Central  Research  Institute  for  Dryland  Agriculture  (CRIDA)  -  Indian  Council  of Agricultural Research (ICAR) in technical collaboration with  stakeholders from National Agricultural  Research  Systems  including  State  Agriculture  Universities,  Krishi  Vigyan Kendras   and line   departments  develop  contingency  plans to  cope  with  contingency situations such as droughts, floods, hail storms, unseasonal rains and heat wave etc. inflicting      serious  economic  losses  specially  to  small  and  marginal  farmers  in  the country  leading  to  Agricultural  distress.  State  Governments  are  sensitized  about  the agricultural  contingencies  to  address  these  issues  in  a  holistic  way  for  the  ultimate benefit of the farming community of the country.

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Advisories are issued to the States & farmers to maximize their production using latest  technologies  of  crop  production,  and  to  educate  farmers,  demonstrations  and trainings  are  organized  at  farmers  field  under  various  crop  development  programmes including National Food Security Mission (NFSM), Bringing Green Revolution in Eastern India (BGREI) and National Mission on Oilseed & Oilpalm (NMOOP).

Under the Centrally Sponsored  Scheme  on  'Support  to State Extension Programs for Extension Reforms (ATMA)' implemented in 676 districts of 29 states & 3 UTs of the country grants-in-aid is released to the State Governments for revitalizing the extension  system  and  making  available  the  latest  agricultural  technologies  to  the farmers  in  different  thematic  areas  to  increase  agricultural  production.  The  activities under ATMA include Farmers Training, Demonstrations, Exposure Visits, Kisan Mela, Mobilization of Farmers Groups and organizing Farm Schools etc.

(d): In  order  to  increase  production  and  acreage  of  Rabi  and  Kharif  crops  in  the country,  Government  of  India  is  implementing  through  State  Governments  several Crops  Development  Schemes/Programmes  such  as  NFSM,  Rashtriya  Krishi  Vikas Yojana (RKVY), BGREI, NMOOP, National Mission for Sustainable Agriculture (NMSA), Pradhan Mantri Krishi Sinchayee Yojana (PMKSY), Soil Health Card (SHC) etc. Under these Schemes/Programmes, funds are provided to States for implementation of Statespecific agricultural strategies including incentives to farmers for use of quality seeds, Integrated  Nutrient  Management  (INM),  Integrated  Pest  Management  (IPM),  farmmechanization, etc.

Further,  in  order  to  increase  the  production  of  field  crops  in  the  country,  crop based    institutes and    All India Coordinated Research   Projects (AICRPs) of Indian

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Council  of  Agricultural  Research  (ICAR)  undertake  research  programmes  to  develop high  yielding  varieties/hybrids.  As  a  result  of  concerted  efforts,  a  total  of  907  high yielding varieties/hybrids of field crops were released during 2012-2017 for cultivation in different  states  and  agro-ecologies.  Front  line  demonstrations  were  organized  to demonstrate  the  new  technologies,  including  IPM  and  farmers'  training  programmes, farmers' fairs,  farmers'  field  days,  etc.  were  also  organized  for  awareness  generation among the farmers so that they can adopt new varieties and technologies to increase production.

Besides, in order to encourage farmers to enhance production and productivity of crops, Government provides concessional short term crop loans to farmers under the Interest  Subvention  Scheme.    Government  has  also  taken  other  measures  such  as increase of import duty and modulating imports and exports. The details of the recent measures taken are at Annexure-II.

## M I N I M U M   S U P P O R T   P R I C E S

(According to crop year)

| Sl. No.   | Commodity        | Variety   | 2013-14   | 2014-15   | 2015-16   | 2016-17   | (#) increase in   | 2017-18   | (#) increase in MSP 2017-18 over   |
|-----------|------------------|-----------|-----------|-----------|-----------|-----------|-------------------|-----------|------------------------------------|
|           |                  |           |           |           |           |           | MSP 2016-17       |           | 2016-17                            |
|           |                  |           |           |           |           |           | over 2015-16      |           |                                    |
| 1         | WHEAT            |           | 1400      | 1450      | 1525      | 1625      | 100(6.6)          | 1735      | 110(6.8)                           |
| 2         | GRAM             |           | 3100      | 3175      | 3500**    | 4000^     | 500(14.3)         | 4400@     | 400(10)                            |
| 3         | MASUR (LENTIL)   |           | 2950      | 3075      | 3400**    | 3950@     | 550(16.2)         | 4250*     | 300(7.6)                           |
| 4         | RAPESEED/MUSTARD |           | 3050      | 3100      | 3350      | 3700*     | 350(10.4)         | 4000*     | 300(8.1)                           |
| 5         | SAFFLOWER        |           | 3000      | 3050      | 3300      | 3700*     | 400(12.1)         | 4100*     | 400(10.8)                          |
| 6         | TORIA            |           | 3020      | 3020      | 3290      | 3560      | 270(8.2)          | 3900*     | 340 (9.6)                          |

Figures in brackets indicate percentage

- # increase.
* Including Bonus of Rs. 100 per quintal.
- ** Including Bonus of Rs. 75 per quintal .
- ^ Including Bonus of Rs. 200 per quintal.
- @ Including Bonus of Rs. 150 per quintal

## Annexure -I

Annexure referred to in reply to part (b) of the Lok Sabha Starred Question No. 202 due for answer on 02.01.2018.

/

(As on 24.10.2017)

(Rs. per quintal)

## Annexure referred to in reply to part (d) of the Lok Sabha Starred Question No. 202 due for answer on 02.01.2018.

## Recent measures for modulating Imports and Exports

-  Bulk  export  of  groundnut  oil,  sesame  oil,  soyabean  oil  and  maize  (Corn)  oil  has been permitted w.e.f. 27.03.2017, removing consumer pack restriction of (upto 5 kg).
-  Import  duty  on  Tur  (pigeon  pea)  has  been  raised  from  0  %  to  10  %  w.e.f. 28.3.2017.
-  Quantitative restriction of 2 lakh tons per year on import of Tur (pigeon pea) w.e.f. 5.8.2017 has been imposed.
-  Quantitative restriction of 3 lakh tons on import of Moong and Urad per year w.e.f. 05.08.2017 and 21.08.2017 has been imposed respectively.
-  Import duty on wheat has been raised from 10% to 20% w.e.f. 8.11.2017.
-  Exports of all varieties of pulses including organic pulses have been allowed w.e.f. 22 nd November, 2017.
-  Import duty on yellow peas has been raised from 0% to 50% w.e.f. 8.11.2017.
-  Import  duty  on  soya  bean  seed  has  been  raised  from  30%  to  45%    w.e.f. 17.11.2017
-  Import duty on Chana and Lentil (Masoor) has been raised from 0% to 30% w.e.f 21.12.2017.
-  Import duties on major edible oils have been raised w.e.f. 17.11.2017 maintaining an appropriate difference between crude and refined oil as given below:
-  crude palm oil from 15% to 30% and refined palm oil from 25% to 40%,
-  crude sunflower oil from 12.5% to 25% and  refined sunflower oil from 20% to 35%,
-  crude soya bean oil from 17.5% to 30% and refined soya bean oil from 20% to 35%,
-  crude rapeseed oil including canola oil (Low erucic and rapeseed oil), mustard oil  and  colza  oil  from  12.5%  to  25%  and  on  refined  rapeseed  oil  including canola oil (Low erucic acid and rapeseed oil), mustard oil an colza oil from 20% to 35%  w.e.f. 17.11.2017.
-  Export  of  all  varieties  of  pulses  including  organic  pulses  has  been  made  'free' without any quantitative restriction w.e.f. 22.11.2017.

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