Govt discriminates against millions of rice growers : BKS

[Guest guest]

BHARATIYA KRISHAK SAMAJ

(Indian Farmers' Organisation)

 

PRESS RELEASE

 

Government discriminates against millions of rice growers

 

June 14, 2008 : The Union government by delaying the announcement of minimum support prices (MSPs) for Kharif (summer) crops has done great injustice to millions of farmers in the country. Monsoon rains have arrived in time and the farmers have begun sowing operations.

 

"Government's apathy towards farmers is clear from the fact the Cabinet Committee on Economic Affairs (CCEA) which met on June 12 recommended only as small increase in the MSPs for paddy. It hiked the MSP for common variety paddy to Rs 850 a quintal and that of Grade A paddy to Rs 880 a quintal, which is much lower than that recommended by the Commission for Agricultural Costs and Prices (CACP). The CACP had recommended a MSP of Rs 1000 a quintal for common variety paddy and Rs 1050 a quintal for grade A variety paddy with a view to bridge the gap between the MSPs of two principal cereals – wheat and paddy. The MSP for wheat was fixed at Rs 1000 a quintal for the last winter season. This is a grave injustice to millions of rice growers across the country, " said the president of Bharatiya Krishak Samaj, Dr Krishan Bir Chaudhary.

 

There was no need to announce ad hoc MSPs for paddy (which are low) and refer the recommendations of the CACP to the prime minister's economic advisory council, The government has set a bad precedent by announcing paddy MSPs lower than the recommendations of the CACP.

 

The BKS holds the Union finance minister, P Chidambaram, in particular responsible for the situation. He has taken the pretex of the current price inflationary trend in the country to justify the delay in announcing MSPs for several Kharif crops. The inflationary trend in the economy as measured by point-to-point movement in the wholesale price index has peaked to a 7-year high at 8.75% by the end of the previous month

 

The finance minister should know that the farmers with their sweat and toil had produced ample food in the past seasons and as a result the country could achieve a record foodgrains production of 227.3 million tonne in 2007-08. There is ample food stock in the country and the government's own storages are overflowing with grains. Recently the government made a record purchase of 22 million wheat from farmers in this marketing season alone. The government should, therefore, crackdown on hoarders, speculators and market manipulators with a view to control price inflation instead of doing such grave injustice to farmers. If the government does not take stringent measures against hoarders, speculators and market manipulators, the price inflation would peak to more than 10% very soon, Dr Chaudhary said.

Dr Chaudhary further demanded : "the government should immediately announce the MSPs recommended by the CACP with an additional bonus price for each crop, taking into consideration the recent hike in diesel price which has increased the cost of cultivation. Some states have sought a hike in paddy MSP to Rs 1,300 a quintal. Paddy cultivation entails higher costs due transplantation."

 

Dr Chaudhary said that some farmers in the Punjab's cotton belt have already switched over to paddy due to the bad experience of mealy bug on Bt cotton in the previous year and with the hope of getting better returns this year

 

He also criticized the government for imposing ban on exports of some varieties of non-basmati rice which are consumed by the higher sections of the society and not by the poor. He said that non-basmati rice like Pusa 1121, Sarbati, Sona masuri, IR 36, IR 64, PR 113, PR 114, PR 106, Pusa 44, BPT 5204, Jaya, Saryupavan 52, MPU 1001, MPU 1010 and MPU 7029 are not consumed by the poor or distributed under the public distribution system (PDS) and hence there is no valid reason to ban exports of these non-basmati rice. The farmers are unable to get proper price realization due to the export ban.

 

Capt Satvir Singh Gulia

Organising Secretary

Bharatiya Krishak Samaj

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