Question : Minimum Support Price

(a) whether the Government intends to cover the difference between sale price and
Minimum Support Price (MSP) for the struggling farmers until a coherent MSP policy
is drafted;

(b) if so, the details and timelines thereof and if not, the reasons therefor;

(c) whether the Government has constituted the Committee for legal guarantee of MSP
as assured by Agriculture Secretary to SamyuktaKisanMorcha in December, 2021
in view of the fact that model code of conduct for assembly elections have ended;

(d) if so, the details and composition thereof and if not, the reasons for delay; and

(e) the date and letter/communication number which was sent for permission of
Election Commission to form this Committee during model code of conduct along
with details of date and communication number of reply by Election Commission
received by the Ministry?

Answer given by the minister

THE MINISTER OF AGRICULTURE AND FARMERS WELFARE

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(a) & (b): Government fixes Minimum Support Prices (MSP) for 22 mandated agricultural crops and Fair & Remunerative Price (FRP) for sugarcane on the basis of the recommendations of the Commission for Agricultural Costs & Prices (CACP), after considering the views of State Governments and Central Ministries/Departments concerned and other relevant factors.
The Government in its Union Budget for 2018-19 had announced the pre-determined principle to keep MSP at a level of one and half times of the cost of production. Accordingly, Government has increased the MSP for all mandated Kharif, Rabi and other commercial crops with a return of atleast 50 per cent over all India weighted average cost of production from the agricultural year 2018-19 onwards (Annex).

Additionally, Government extends price support for paddy and wheat through the Food Corporation of India (FCI) and State Agencies. Under this policy, whatever food grains are offered by farmers within the stipulated period & conforming to the specifications prescribed by Government are purchased at MSP by the State Government agencies including FCI for Central Pool.

Oilseeds, pulses and copra of Fair Average Quality (FAQ) are procured from registered farmers under Price Support Scheme under Umbrella Scheme of Pradhan MantriAnnadataAaySanraksHanAbhiyan (PM-AASHA), as per its prescribed guidelines at MSP in consultation with the concerned State Government.

(c) and (d): To promote natural farming, scientifically change the crop pattern keeping in mind the changing requirements of the country and make MSP more effective and transparent, the process of setting up a committee is under progress.

(e): Approval for constitution of the committee was sought from the Election Commission vide this Ministry’s Letter No. L-15016/01/2021-MPS dated 31st January, 2022. Reply received from the Election Commissionvide letter No. 437/6/CG/LA-MULTI/ECI/LET/FUNCT/MCC/2022/465 dated 1st February, 2022.





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