Lok Sabha Question No. 2520 (UNSTARRED), answered on 2015-08-04
Subject: Decline in Procurement
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: PARESH RAWAL, RAJESHBHAI NARANBHAI CHUDASAMA, DIPSINH SHANKARSINH RATHOD, CHANDRAKANT RAGHUNATH PATIL, A. ARUNMOZHITHEVAN, DEVAJIBHAI GOVINDBHAI FATEPARA, DILIP PATEL, DARSHANA VIKRAM JARDOSH

## MINISTRY OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION

## GOVERNMENT OF INDIA DEPARTMENT OF FOOD AND PUBLIC DISTRIBUTION

## LOK SABHA

## UNSTARRED QUESTION NO. 2520 TO BE ANSWERED ON 04 TH  AUGUST, 2015

## DECLINE IN PROCUREMENT

2520. SHRI PARESH RAVAL:

SHRI RAJESHBHAI CHUDASAMA:

SHRI D.S. RATHOD:

SHRI C.R. PATIL:

SHRI A. ARUNMOZHITHEVAN:

SHRI DEVAJIBHAI G. FATEPARA:

SHRI DILIP PATEL:

SHRIMATI DARSHANA VIKRAM JARDOSH:

Will  the  Minister  of  CONSUMER  AFFAIRS,  FOOD  AND  PUBLIC DISTRIBUTION miHkksDrk ekeys] [kk| vkSj lkoZtfud forj.k ea=h be pleased to state:

- (a) whether there has been a decline in the quantum of wheat procured by the Government agencies which lagged behind targets fixed for the year 2015-16;
- (b) if so, the details thereof and the reasons therefor indicating the targets fixed and achieved and the prices paid by the Government, State-wise; and
- (c)  the  steps  proposed  to  be  taken  by  the  Government  to  ensure  that farmers get the M.S.P. for their crops?

## A N S W E R MINISTER OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION (SHRI RAM  VILAS PASWAN)

(a) & (b): A quantity of 280.88 lakh MT of wheat has been procured for Central  Pool  during  Rabi  Marketing  Season  (RMS)  2015-16,  whereas, during  RMS  2014-15,  procurement  of  wheat  was  only  280.23  lakh  MT. Thus, the procurement of Wheat in this year has marginally surpassed the previous year's procurement.

State  wise  targets  for  procurement  and  the  quantity  procured  in Central Pool  in RMS 2015-16 is as under :-

In lakh MT

| State       |   Target for Procurement |   Quantity Procured |
|-------------|--------------------------|---------------------|
| Punjab      |                      120 |              103.44 |
| Haryana     |                       70 |               67.78 |
| U.P         |                       30 |               22.67 |
| M.P         |                       60 |               73.09 |
| Rajasthan   |                       18 |               13.00 |
| Uttarakhand |                      1.5 |                0.04 |
| Others      |                      0.5 |                0.86 |
| Total       |                    300.0 |              280.88 |

As procurement always fluctuates based on the crop production & market situation  in  a  particular  season,  the  procurement  of  more  than 90% of the target is a good performance, even though it is short of the targets fixed. The slight shortfall in procurement is due to crop damage because of adverse weather conditions during growing/harvesting period in  the  States  like  Punjab,  Haryana,  U.P,  M.P  and  Rajasthan  which  had also affected the yield.

Government of India had announced Minimum Support Price (MSP) of Rs.1450 per quintal for procurement of wheat for RMS 2015-16, which has been uniformly paid to the farmers in various States/ UTs.

(c): The steps taken by the Government to ensure that farmers get the MSP for their crops are at Annex-1.

## Annex-I

## ANNEXURE REFERRED TO IN REPLY TO PART  (c)  OF  THE  UNSTARRED QUESTION  NO.  2520  DUE  FOR  ANSWER  ON  04.08.2015  IN  THE  LOK SABHA

The steps taken by the Government to ensure that farmers get the MSP for their crops are as follows:-

1. Keeping  in  view  the  procurement  potential  areas,  procurement centres  for  MSP  operations  are  opened  by  Government  agencies, both FCI and State Government, after mutual consultations.
2. Farmers are made  aware  of the MSP  operations by way  of advertisements  like  displaying  banners,  pamphlets,  announcement for MSP and specification in print and electronic media.
3. Payment for the  wheat and paddy procured from farmers is either made directly to the farmers or through arthias/co-operative societies as per prevailing system of the State. Payment to farmers are  also  made  through  A/c  payee  cheque/electronic mode. Even in respect  of  paddy  purchased  by  millers,  GOI  has  already  advised State Government to ensure payment to farmers by millers/Private traders  through  A/c  payee  cheque  so  that  trail  of  payment  can  be made while issuing MSP certificate to millers for delivery of levy rice to State Government /FCI.
4. State  Governments  are  encouraged  to  undertake  decentralized procurement, so as to enhance the procurement of food grains.
5. MSP has been enhanced from time to time to encourage delivery of foodgrains into central pool purchase.

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