Question : IMPACT OF PRODUCTION ON PRICE



(a) whether the cost of production is estimated to have gone down due to record and bumper agricultural production in the country during the year 2010-11;

(b) if so, the details thereof and the percentage of increased production due to which cost of production has been estimated to have gone down; and

(c) the reasons identified by the Government for increased agricultural production?

Answer given by the minister


MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE, FOOD PROCESSING INDUSTRIES AND PARLIAMENTARY AFFAIRS (SHRI HARISH RAWAT)

(a) & (b): The cost of cultivation/production is dependent on costs of various inputs such as seeds, fertilizer, manure, rent, etc. It also includes value of owned assets such as rental value of owned land, imputed value of family labour and interest on owned fixed capital. The all India weighted average cost of production (C2) for various crops for years 2009-10 and 2010-11 is given at Annexure.

(c): The Government is implementing a number of schemes to empower farmers which includes, inter-alia, Rashtriya Krishi Vikas Yojana (RKVY), National Food Security Mission (NFSM), National Horticulture Mission (NHM), Integrated Scheme of Oilseeds, Pulses, Oilpalm and Maize (ISOPOM), Integrated Cereals Development Programme for Rice/Wheat/Coarse Cereals etc. with a view to increasing agricultural productivity and production.