Lok Sabha Question No. 1599 (UNSTARRED), answered on 2020-09-20
Subject: Ensuring Fair Price to Farmers
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Thomas Chazhikadan

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

## LOK  SABHA UNSTARRED QUESTION NO.1599

TO BE ANSWERED ON THE 20 TH  SEPTEMBER, 2020

## ENSURING FAIR PRICE TO FARMERS

1599      SHRI THOMAS CHAZHIKADAN:

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

- (a) whether the Government is aware of the fact that farmers are not getting fair price for their  produce  compared  to  the  cost  of  production,  if  so,  the  measures  being  taken  by  the Government to support the farmers for compensating the deficiency;
- (b) whether the Government has made an assessment of the negative impact of COVID 19 pandemic on the agriculture sector, if so, the details thereof;
- (c) the amount of Kisan Samman Yojana released from December 2018 to August 2020 month wise; and
- (d) whether the Government will consider providing a monthly pension of Rs 10,000/- to farmers owning less than 2.5 acres of agricultural land, if so, the details thereof?

## ANSWER

## MINISTER OF AGRICULTURE AND FARMERS WELFARE

कृ ष एवं कसान कयाण मंी ( SHRI NARENDRA SINGH TOMAR)

- (a) & (b): Government has taken adequate measures to ensure fair price of their produce to the farmers in the country. All required exemptions were given in agricultural sector during the  lockdown period. In view of lockdown due to COVID-19 pandemic on the farmers and agriculture Sector, the following measures were also taken by Government:-
- (i) Government announced the Pradhan Mantri Garib Kalyan Yojana under which financial benefits under PM-KISAN Scheme were released to more than 8.7 crore beneficiaries during  the  beginning  of  the  1 st 4-monthly  period  April-July,  2020  in  the  financial  year 2020-21.

….contd..2/-

- (ii)  The  Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services  Ordinance,  2020  was  promulgated  on  5 th June,  2020  which  provides  for  a national  framework  on  farming  agreements  that  protects  and  empowers  farmers  to engage  with  agri  business  firms,  processers,  aggregators,  wholesalers,  large  retailers and  exporters  etc.  for  farm  services  and  sale  of  future  farming  produce  at  a  mutually agreed remunerative price framework in a fair and transparent manner.
- (iii)  The  Farmers'  Produce  Trade  and  Commerce  (Promotion  and  Facilitation)  Ordinance, 2020 was promulgated on 5 th June, 2020 which provides for creation of an ecosystem where the farmers and traders enjoy the freedom of choice relating to sale and purchase of farmers' produce which facilitates remunerative prices through competitive alternative trading channels; to promote efficient, transparent and barrier-free inter-State and intraState trade and commerce of farmers' produce outside the physical premises of markets or deemed markets notified under various State agricultural produce market legislation and to provide a facilitative framework for electronic trading.
- (iv)  An Agriculture Infrastructure Fund has been set-up which provides medium - long term debt  financing  facility  for  investment  in  viable  projects  for  post-harvest  management infrastructure  and  community  farming  assets  through  interest  subvention  and  financial support.
- (v) Government has approved a new Central Sector Scheme titled "Formation and Promotion of Farmer Produce Organizations (FPOs)" to form and promote 10,000 new FPOs with a total budgetary provision of Rs. 4496.00 crore for five years (2019-20 to 2023-24) with a further  committed  liability  of  Rs.  2369.00  crore  for  period  from  2024-25  to  2027-28 towards  handholding  of  each  FPO  for  five  years  from  its  aggregation  and  formation. Under  the  scheme,  support  to  each  FPO  is  continued  for  5  years  from  its  year  of inception.
- (c):      The  financial  benefit  under  the  PM-KISAN  Scheme  is  released  once  in  every  four months period only. Accordingly, period-wise details of benefit released since 1 st 4-monthly period  of  December,  2018-March,  2019  under  the  scheme  and  onwards  is  enclosed  at Annexure-1.

(d): Government has already implemented the Pradhan Mantri Kisan Maan Dhan Yojana which provides a monthly pension of Rs. 3000/- to Small and Marginal Farmers across the country, owning upto 2 hectares of cultivable land and subject to certain exclusion criteria, when they reach 60 years of age. It is a voluntary and contribution based scheme, requiring the subscribing farmers to pay a monthly contribution of Rs. 55/- to Rs. 200/-, depending on the  age  of  entry  into  the  scheme.  Central  Government  pays  equal  contribution  for  each farmer.  On  the  death  of  the  subscribing  pensioner,  the  spouse  is  entitled  to  Rs.  1500/monthly pension. As on 17.09.2020, 20,67,057 farmers have already joined the scheme.

Annexure - I

Period-wise Amount released under PM-KISAN till 17.09.2020

| Period                    | Amount              |
|---------------------------|---------------------|
| December 2018- March 2019 | ₹ 60,05,48,58,000   |
| April - July 2019         | ₹ 1,23,24,85,82,000 |
| August - November 2019    | ₹ 1,75,52,54,58,000 |
| December 2019- March 2020 | ₹ 1,93,18,97,82,000 |
| April - July 2020         | ₹ 2,85,84,89,86,000 |
| August - November 2020    | ₹ 1,03,16,76,96,000 |
| Grand Total               | ₹ 9,41,03,53,62,000 |

**********