Lok Sabha Question No. 4540 (UNSTARRED), answered on 2021-03-23
Subject: Increasing Farmers Income
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Hema Malini, Balubhau (Alias Suresh Narayan) Dhanorkar, Kani K. Navas

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

## LOK SABHA UNSTARRED QUESTION NO.  4540

TO BE ANSWERED ON THE 23 RD  MARCH, 2021

## INCREASING FARMERS INCOME

4540.      SHRIMATI HEMA MALINI: SHRI BALUBHAU ALIAS SURESH NARAYAN DHANORKAR: SHRI K. NAVASKANI:

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ ष एवं कसान कयाण मंी be pleased to state:

- (a) whether  the  Government  has  taken  several  steps/  launched  a  number  of  new schemes during the last  six  and  a  half  years  with  an  objective  to  increase  the  income  of farmers by 2022;
- (b) if so, whether the Government has been successful in enhancing farmers' incomes as per the Swaminathan Commission report's recommendations;
- (c) if so, the details of the increase in farmers' income during the said period;
- (d) the average incomes of farmers during the last six years, State and year-wise;
- (e) whether  Minimum  Support  Price  (MSP)  of  various  crops  has  witnessed  a  record increase during the last six and a half years leading to a record increase in the income of farmers as well; and
- (f) if so, the details thereof?

## ANSWER

MINISTER OF AGRICULTURE AND FARMERS WELFARE कृ ष एवं कसान कयाण मंी (SHRI NARENDRA SINGH TOMAR)

- (a): The Government has adopted several developmental programmes, schemes, reforms and policies, that focus on higher incomes for the farmers. All these policies & programmes are being supported by higher budgetary allocations, non-budgetary financial resources by way  of  creating  Corpus  Funds  like  Micro  Irrigation  Fund  and  Agri-marketing  Fund  to strengthen eNAM and GrAMs, Market Reforms like Model APLMC (Promotion & Facilitation)

Act,  2017,  Establishment  of  22,000  number  of  Gramin  Agriculture  Markets  (GrAMs),  AgriExport Policy, The Farmers Produce Trade and Commerce (Promotion & Facilitation) Act., 2020,The Farmers (Empowerment & Protection) Agreement on Price Assurance and Farm Services Act.,  2020,Amendments to Essential Commodities Act, 1955, Promotion of 10,000 FPOs and supplementary income transfers under PM-KISAN, Pradhan Mantri Fasal Bima Yojna  (PMFBY),  Pradhan  Mantri  Krishi  Sinchai  Yojna  (PMKSY),  Increase  in  Minimum Support Price (MSPs) for all Kharif & Rabi Crops, Har Med Par Ped, Bee-Keeping, Rashtriya Gokul Mission, Blue Revolution, Interest Subvention Scheme, Kisan Credit Card (KCC), etc. The latest major intervention includes the 'Atma Nirbhar Bharat - Agriculture' which includes comprehensive market reforms and creation of 'Agricultural Infrastructure Fund (AIF)' worth Rs. 1 lakh crores. In the Budget Announcement 2021-22, allocation to Micro Irrigation Fund has been doubled to Rs 10000 crore and Institutional Credit has been increased to Rs 16.50 lakh crore.

- (b) : All the initiatives of the Government, led to higher production, increased MSP/procurement etc. Further income support through PM-KISAN etc is helping the farmers.
- (c) & (d):     The last Situation Assessment Survey was conducted by NSSO in 2012-13.
- (e) & (f):     The Government's price policy is to ensure remunerative prices to farmers by deciding MSP which is fixed at a pre-determined principle by keeping  MSP at a level of one and half times of the cost of production. Accordingly, Government has increased the MSPs for all mandated Kharif, Rabi and other commercial crops with a return of atleast 50 percent over all India weighted average cost of production from agriculture year 2018-19. Comparative figures of 2013-14 vs 2020-21 is at Annexure .

ANNEXURE

(Rs per quintal)

| Commodity              | 2013-14   | 2013-14   | 2013-14           | 2020-21   | 2020-21   | 2020-21           |
|------------------------|-----------|-----------|-------------------|-----------|-----------|-------------------|
|                        | Cost*     | MSP       | %Return over Cost | Cost*     | MSP       | %Return over Cost |
| KHARIF CROPS           | 961       | 1310      | 36                |           |           |                   |
| PADDY(Common)          |           | 1345      |                   | 1245      | 1868      | 50                |
| (Grade A) ^            | 1269      | 1500      | 18                |           | 1888      |                   |
| JOWAR (Hybrid)         |           | 1520      |                   | 1746      | 2620      | 50                |
| (Maldandi) ^           | 768       | 1250      | 63                |           | 2640      |                   |
| BAJRA                  | 1338      | 1500      | 12                | 1175      | 2150      | 83                |
| RAGI                   | 860       | 1310      | 52                | 2194      | 3295      | 50                |
| MAIZE                  | 3090      | 4300      | 39                | 1213      | 1850      | 53                |
| ARHAR(Tur)             | 3775      | 4500      | 19                | 3796      | 6000      | 58                |
| MOONG                  | 3144      | 4300      | 37                | 4797      | 7196      | 50                |
| URAD                   | 2485      | 3700      | 49                | 3660      | 6000      | 64                |
| COTTON (Medium Staple) |           | 4000      |                   | 3676      | 5515      | 50                |
| (Long Staple) ^        | 2720      | 4000      | 47                |           | 5825      |                   |
| GROUNDNUT              | 3000      | 3700      | 23                | 3515      | 5275      | 50                |
| SUNFLOWER SEED         | 1692      | 2560      | 51                | 3921      | 5885      | 50                |
| SOYABEAN(Yellow)       | 2919      | 4500      | 54                | 2587      | 3880      | 50                |
| SESAMUM                | 2279      | 3500      | 54                | 4570      | 6855      | 50                |
| NIGERSEED              |           |           |                   | 4462      | 6695      | 50                |
| RABI CROPS             |           |           | 106               |           |           |                   |
| WHEAT                  | 679       | 1400      |                   |           |           |                   |
|                        | 676       | 1100      | 63                | 960       | 1975      | 106               |
| BARLEY                 | 1786      | 3100      | 74                | 971       | 1600      | 65                |
| GRAM                   | 1799      | 2950      | 64                | 2866      | 5100      | 78                |
| MASUR (LENTIL)         | 1307      | 3050      | 133               | 2864      | 5100      | 78                |
| RAPESEED and MUSTARD   | 2558      | 3000      | 17                | 2415      | 4650      | 93                |
| SAFFLOWER              |           | 3020      |                   | 3551      | 5327      | 50                |
| TORIA ^                |           |           |                   |           | 4650      |                   |
| OTHER CROPS            | 4168      | 5250      | 26                |           |           |                   |
| COPRA (Milling)        |           | 5500      |                   | 6639      | 9960      | 50                |
| (Ball)^                |           | 1425      |                   |           | 10300     |                   |
| DE-HUSKED COCONUT ^    | 1015      | 2300      | 127               |           | 2700      |                   |
| JUTE                   | 961       | 1310      | 36                | 2709      | 4225      | 56                |

*Includes all paid out costs such as those incurred on account of hired human labour, bullock labour/machine labour, rent paid for leased in land, expenses incurred on use of material inputs like seeds, fertilizers, manures, irrigation charges, depreciation on implements and farm buildings, interest on working capital, diesel/electricity for operation of pump sets etc, miscellaneous expenses & imputed value of family labour.

^  Cost  is  not  separately  compiled  for  Paddy  (Grade  A),  Jowar  (Maldandi),  Cotton  (long  staple)  Toria,  Copra  (ball)  and  De-Husked Coconut.

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