Business Standard

Govt plans to procure paddy, cotton worth ~1.75 trillion in FY21 RICE PROCUREMEN­T SCENARIO FOR 2020-21 KHARIF MARKETING YEAR

- SANJEEB MUKHERJEE New Delhi, 7 October

Ahead of a proposed meeting of 31 protesting farmers’ organisati­ons from Punjab with the Centre, the government on Wednesday claimed it was planning to purchase rice and cotton worth almost ~1.75 trillion from farmers across India in the next few months, of which good quantities would be from farmers of Punjab and Haryana.

“Punjab along with Haryana, together contribute around 40 per cent of the rice and wheat procured for the Central pool,” agricultur­e secretary Sanjay Agarwal said. He said between September 26 and now, around 1.5 million tonnes of rice had been procured from around 37,000 farmers of Punjab and Haryana and over ~2,800 crore transferre­d into their accounts. This is around 23 per cent more than the paddy procured during the same period last year. The Cotton Corporatio­n of India is planning to purchase 12.5 million bales of cotton from farmers in 2020-21 season that has started from October, which is almost 16 per cent more than the purchases done in 2019-20 (1 bale=170 kg). “Last year, we transferre­d around ~28,500 crore as minimum support price to farmers. This year, we plan to transfer ~30,000 crore,” textiles secretary Ravi Capoor said. Cotton production in 2020-21 is estimated to 36 million bales, which is marginally more than 35.7 million bales last year.

Agarwal said the government was also planning to purchase around 3.2 million tonnes of pulses, oilseeds, and copra from the farmers of Telangana, Tamil Nadu, Maharashtr­a, Gujarat, UP, Andhra Pradesh, etc.

Agarwal reiterated the MSP mechanism will remain. Punjab farmers have reportedly rejected the Centre's invitation for talks. Punjab, Haryana and parts of western UP have been up in arms against the reforms over fears the move will lead to withering away of the procuremen­t system.

In Haryana, the AIKSC laid seize at the residence of Deputy CM demanding him to clear his stance on the bills. Punjab, Rajasthan and Chhattisga­rh are planning to pass laws to prohibit purchase inside or outside the mandis below MSP.

Odisha, Maharashtr­a, and Telangana also constitute­d panels to look at ways to minimise impact of the reforms. Punjab plans to move SC.

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