Farmers to lose ~145 bn this rabi season: Survey

A survey conducted by farm activists led by Swaraj Abhiyan president Yogendra Yadav has assessed that farmers could lose around ~145 billion this rabi season as market prices of major crops, excluding wheat and rice, have dropped below the state-mandated minimum support price in most parts of the country.

Farmers could lose up to ~145 billion this rabi season, as market price of major crops have dropped below the minimum support price (MSP) in most parts of the country, according to an assessment of 14 major mandis (markets). Only wheat and rice are excluded from this.

The assessment was carried out by a team of farm activists led by Swaraj Abhiyan president Yogendra Yadav. It was based on the expected marketable surplus as arrivals were still on in most places. Crops considered for this were gram, groundnut, mustard, masoor dal, maize and barley. For most of these, the average price was about ~200 to ~600 below the MSP.

“In most of these mandis, our teams interacted with farmers, traders and officials. We also visited the closest procurement centres. The data cited was obtained from local mandi officials,” Swaraj Abhiyan said in a statement released on Saturday.

None of the farmers were able to sell their produce at the MSP at any of the mandis the Swaraj Abhiyan teams visited. A bumper harvest of chana and mustard had resulted in their prices crashing by over 20 per cent.

In most places, there was no visible procurement by the Centre or state governments. The report said there was a need for urgent government intervention and effective procurement.

The farmer leaders have demanded that they should be able to sell at the MSP and the government should take steps to ensure this. The paperwork required to ensure that their produce was purchased by state agencies should be streamlined, while procurement should start on time so that distress sales did not happen.