Ensuring Remunerative Prices Through MSP and Market Intervention

Published on August 31, 2011 by News Desk · 1 Comment

INVC,,

Delhi,,

The Government ensures remunerative price for the major agricultural produce including paddy through Minimum Support Price (MSP). The MSP is ensured through procurement by central, state and cooperative agencies in the states. State governments have been alerted from time to time to make adequate arrangements to ensure MSP to farmers.

In addition, Government is implementing Market Intervention Scheme (MIS) for agricultural and horticultural commodities not covered under the Price Support Scheme. The MIS is implemented on the request of State/UT Government in order to protect the growers of these commodities from making distress sale in the event of bumper crop when the prices tend to fall below the cost of production. Procurement of I lakh Metric Tonne of Potato in Uttar Pradesh has been sanctioned during March-April 2011 under MIS.

In addition to MSP and MIS, to ensure remunerative prices during the remaining period of 11th Five Year Plan the Government implements various schemes in the states which, inter alia, includes Grameen Bhandaran Yojana; provision of better marketing opportunities through reforms in agricultural marketing system by requesting States/UTs to amend their Agricultural Produce Marketing Committee (APMC) Act by the Model Agricultural Produce Marketing (Development & Regulation) Act, 2003, setting up of Terminal Market Complex (TMC) etc.

This information was given by Shri Harish Rawat, Minister of State for Agriculture and Food Processing Industries.