Financial support to farmers from Modi government! Rs 19,444 cr sanctioned in 1st installment for MSP operations support to these states

In a major development, National Cooperative Development Corporation (NCDC), the apex financing organization of Union Agriculture Ministry has sanctioned as first instalment, funds amounting to Rs 19444 crores to the states of Chhattisgarh, Haryana and Telangana for Kharif paddy procurement under Minimum Support Price (MSP) operations.

These amounts have been sanctioned to assist the States/ State Marketing Federations in undertaking paddy procurement operations in a timely manner through their respective cooperative organizations. Chhattisgarh gets the highest amount to the tune of Rs 9000 crores. Haryana has been sanctioned Rs 5444 crores and Telangana Rs 5500 crores.

"This proactive step by NCDC during the COVID pandemic will give the much needed financial support to farmers of these three state who account for nearly 75% of production of paddy in the country. The timely step will help the state agencies start procurement operations immediately. It will provide the much needed support to farmers to sell their produce at the government notified minimum support price," Ministry of Agriculture and Farmers Welfare said in a statement.

Managing Director, NCDC, Sundeep Nayak said that in response to the clarion call given by Prime Minister Narendra Modi, NCDC was ready to assist more States in carrying out MSP operations for giving fair value to farmers in the light of historic farm related legislations.

Also, based on the proposal from the States, approval has been accorded for procurement of 13.77 LMT of Pulse and oilseeds for KMS 2020-21 for the States of Tamil Nadu, Karnataka, Maharashtra, Telangana and Haryana. For the other States/UT, approval will also be accorded on receipt of proposal for Kharif Pulses and oilseeds and procurement will be made as per Price Support Scheme(PSS), if the market rates goes below its MSP.

Up to 24.09.2020, the Government through its Nodal Agencies has procured 34.20 MT of Moong having MSP value of Rs.25 lakhs benefitting 40 farmers in Tamil Nadu. Similarly, 5089 MT of copra(the perennial crop) having MSP value of Rs. 52.40 crore has been procured benefitting 3961 farmers in Karnataka and Tamil Nadu against the sanctioned quantity of 95.75 LMT for the Andhra Pradesh, Karnataka, Tamil Nadu and Kerala.

The procurement of Paddy during Kharif Marketing Season 2020-21 has just started from 26th September, 2020 and upto 27.09.2020, 5637 MT having MSP value of Rs. 10.53 crore at MSP of Rs 1868 per quintal has been procured from 390 farmersof Haryana and Punjab. The procurement of paddy for the remaining States will commence from 28.09.2020. The procurement of Cotton for the season 2020-21 shall commence from 1st October 2020 and Cotton Corporation of India (CCI) will start purchase of FAQ grade Cotton from 1st October 2020 onwards.