Maha govt may adopt its own MSP to solve agrarian crisis

MUMBAI: In a bind over agrarian protests, the Maharashtra government is mulling adopting its own minimum support price (MSP). This will give farmers an assured price for certain Kharif crops, over and above the MSP declared by the Centre.

MS Prefers to a minimum price promised to the farmers by the Centre to insure them against a drop in market prices.

The state government hopes the move can be implemented under the Cent re’ s proposed market assurance scheme( MAS ), which plans to decent ra li se powers of procurement of food grains to the states when market prices drop to ensure maximum farmers get the MSP.

“In our initial discussion, the Centre conveyed its willingness to give states the freedom to decide the MSP as long as it is not below the price decided by them. This can give much-needed relief to farmers when market prices drop because the complaints so far have been that the Centre’s MSP does not reflect regional realities and cost of cultivation,’’ said Bijay Kumar, principal secretary of agriculture department.

However, even if the Centre gives its nod for the scheme, it will be a challenge for the state government to implement it.

For starters, the state will have to enlarge the scope of the Cotton Federation of Maharashtra to also procure foodgrains and pulses, said a senior agriculture officer, who did not want to be named. Currently, the federation only procures cotton.

It will also have to change the role of a public sector undertaking like the Maharashtra Agro Industries Development Corporation to sell the foodgrains procured, Kumar said.