Lok Sabha Question No. 1532 (UNSTARRED), answered on 2020-09-20
Subject: Provision for Adequate MSP
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: Naranbhai Bhikhabhai Kachhadiya, Parbatbhai Savabhai Patel, Jaswantsinh Sumanbhai Bhabhor

## GOVERNMENT OF INDIA

## MINISTRY  OF GONSUMER  AFFAIRS, FOOD & PUBLIG DISTRIBUTION DEPARTMENT OF FOOD AND PUBLIG DISTRIBUTION

## LOK SABHA

UNSTARRED OUESTION NO. I532 TO BE ANSWERED  ON 2oth SEPTEMBER, 2O2O

## PROVISION FOR ADEQUATE MSP

t1532.

SHRI NARANBHAI KACHHADIYA:

SHRI I'ARBATBHAI  SAVABHAI PATEL:

SHRI .'ASWANT SINGH BHABHOR:

Will the DISTRIBUTION state: llVlinister of 3q8TtfdrI  ffa-e, CONSUMER AFFAIRS, FOOD AND PUBLIC EIEq 3il't Tr+Jfr6, Fft{ur d+  be pleased to

- (a)  whether the Government has developed any suitable mechanism to ensure that farmers would get enhanced Minimum Support Price (MSP) on their surplus agricultural produce;
- (b) if so, the details thereof;
- (c)  whether the Government proposes to  take action against the wholesale  traders who do not purchase Kharif crops at the MSP;
- (d) if so, the details thereof;
- (e)  whether the Government will procure surplus agricultural  products directly from farmers in case of wholesaler do not purchase the said produce on MSP; and
- (f) if so, the details thereofif

## ANSWER

MINISTER OF STATE FOR MINISTRY OF CONSUMER  AFFAIRS, FOOD & PUBLIC DISTRIBUTION (sHRl DANVE RAOSAHEB DADARAO)

- (a) to (f): The procurement policy of Government of lndia (GOl) is open ended, under which paddy and wheat offered by farmers within the stipulated period (conforming to specifications  prescribed in advance by GOI) are purchased for Central Pool at Minimum Support Price (MSP) by Food Gorporationr of India/ State Governments/ State Government Agencies, to help farmers get remunerative price and prevent distress sale. However, if any  producer/ farmers get better price in comparison  to MSP, he/she is free to sell his/her produce in open market.

,......2t-

Goarsegrains  are procured  at MSP by State Governments  as per the procurement  plan prepared in consultation  with FGt and approved by the central Government, subject to  its distribution by the state Government under National  Food Security Act (NFSA)/ Other Welfare Schemes (OWS)'

tn  order to  provide remunerative price to  the  farmers, Department of Agricutture,  Gooperation and Farmers welfare (DAC&FW)' Ministry of Agriculture  & Farmers  welfare implements  'lPradhan  Mantri Annadata Aay SanraksHan Abhiyan" (PM-AASHA),  comprising  Price support scheme  (PSS), Price Deficiency Payment scheme (PDPS)  and pilot of Private procurement  and stockist  scheme(PPSs). Under PM-AASHAT States/UTs are offered to choose either of PSS and PDPS in a given procurement season with respect to particutar  oilseeds crop for the entire state. The pulses and copra are procured  under PSS. Only one scheme i.e PSS or PDPS will be make operational in one state with respect to one Gommodity. Furthert state have the option to rott out Private Procurement  and stockist scheme (PPSS) on pilot basis in districuselected  APMG(S) of district involving the participation  of private stockist for oilseeds.

Further,Governmentoflndia,throughcottonGorporationoflndia (GCl) undertake MSP Operation  in the event when prices of seed cotton (kapas) touch the MSP levet to procure entire quantity of kapas offered by the cotton farmers in various Agricultural  Produce Market Gommittees (APMGs) market yards at  MSP rates without any quantitative limits. similarly,  Jute corporation of lndia procure  iute  in all the  iute  growing states through the Direct Purchase centres (DPGs)' if  prices falls below MSP.