Lok Sabha Question No. 2483 (UNSTARRED), answered on 2024-12-10
Subject: Fund allocated for Grain Procurement
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Shri Madhavaneni Raghunandan Rao

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

## LOK SABHA UNSTARRED QUESTION NO. 2483

TO BE ANSWERED ON THE 10 TH  DECEMBER, 2024

## FUND ALLOCATED FOR GRAIN PROCUREMENT

2483.  SHRI MADHAVANENI RUGHUNANDAN RAO :

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ ͪष एवं ͩकसान कã  याण मंğी be pleased to state:

- (a) the details  of  the  amount  allocated  by  the  Central  Government  for  grain procurement in Telangana;
- (b) the  details  of  the  facilities  and  infrastructure  established  to  facilitate  smooth procurement;
- (c) the steps taken to provide relief to farmers facing financial losses due to the State Government's inaction; and
- (d) the manner in which the Government ensures a smooth and efficient procurement process to stabilize the farm sector in Telangana?

## ANSWER

THE MINISTER OF STATE FOR AGRICULTURE AND FARMERS WELFARE कृ ͪष एवं ͩकसान कã  याण राÏय मंğी (SHRI RAMNATH THAKUR)

- (a): State  wise  funds  are  not  allocated  towards  food  subsidy  by  the  Government. Department of Food and Public Distribution (DFPD) reimburses the expenditure incurred by States that have opted for Decentralized Procurement (DCP) mode on distribution of Food grains under Central Sector Schemes. Other States lift the food grains from Food Corporation of India (FCI) as per their allocations earmarked by Department of Food and Public  Distribution.  The details of  the  Food  Subsidy reimbursed  for distribution  of food grains under Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) for the last three years to Telangana are as under:-

| Year                 |   Amount released (Rupees in Crore) |
|----------------------|-------------------------------------|
| 2021-22              |                             7665.02 |
| 2022-23              |                             5242.76 |
| 2023-24              |                             5367.07 |
| 2024-25(till Oct 24) |                             2592.1  |

(b): Procurement  of  food  grains  under  MSP  operations  has  been  mandatorily  to  be carried out through online portals which brought substantial transparency in the process with  introduction  of  registration  of  farmers  for  sale  of  their  produce  at  govt.  procuring centers/mandis, online land /crop verification and online payment of MSP directly into the farmer's bank account.

'One Nation, One MSP through DBT' implemented across the country from RMS 202122  onwards.  Payment  of MSP has  been  ensured  directly  into  farmers'  account.  DBT of MSP has brought in responsibility, transparency & real time monitoring in the system.

(c): Government  extends  price  support  for  paddy  and  wheat  through  the  Food Corporation  of India  (FCI)  and  State  Agencies.  Further, different  types  of  nutri-cereals (Millets)  and  coarse  grains  are  procured  by  various  State  Governments  it's  own  in consultation with FCI to the extent that the concerned State Government may utilize them for the distribution under Targeted Public Distribution System (TPDS) as well as in Other Welfare Schemes (OWS). Notified Pulses,Oilseeds and Copra of Fair Average Quality (FAQ) are procured at the MSP from the registered farmers under Price Support Scheme (PSS), a component of integrated Scheme of Pradhan MantriAnnadataAaySanraksHanAbhiyan  (PM-AASHA),  as  per  it's  extant  guidelines  in association with the concerned State Government. In order to incentivize the farmers for enhancement  of  domestic  production  and  to  reduce  the  dependence  on  import,  the existing procurement ceiling of Tur, Urad and Masur under PSS was lifted for the year 2023-24 and it has been extended for the year 2024-25 also. Further, Cotton and Jute are procured  by  Government  at  MSP  through  Cotton  Corporation  of  India  (CCI)  and  Jute Corporation of India (JCI) respectively. Consequently, the overall market responds to the market  intervention  by  the  Government  through  procurement  operations that drive the market upward for various notified crops under MSP.

(d): Procurement centres are opened by State Govt. Agencies taking into account the production, marketable surplus, convenience of farmers etc. More than 8800 Procurement Centres have been proposed to be opened in Telangana by State Govt. agencies during KMS 2024-25 (Kharif).

The State Procurement Portals have  been integrated  with  Central  Procurement Food Grains Portal (CFPP) to have repository of information on almost real time basis for better monitoring, review and decision making. State Procurement portals also provide farmers the latest/updated information regarding MSP declared, nearest purchase center, date/period of procurement, allotment of slots/time to farmers against their booking for sale of produce etc. These enable the farmer to deliver stock as per his convenience in the nearest mandi.

In orders to widen out reach of MSP operations for Paddy, Government has made a provisions for engagement of Co-operative societies/Self Help Groups/Panchayats/PAC by the State procuring agencies so that maximum farmers, can avail the benefit of Price support operations.

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