Question : FALL IN PRICES OF CASH CROPS



(a) whether the prices of major cash crops like coffee, tea, pepper, arecanut, rubber, cotton and tobacco have been falling steadily over the last several years;

(b) if so, the details of the steps taken or steps contemplated by the Government to arrest the above trend;

(c) whether the Government are considering support measures and a seasonal sustained procurement policy for all major cash crops to save farmers, the plantation industry and in turn the agricultural and plantation workers; and

(d) if so, the details thereof?

Answer given by the minister

MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY ( SHRI RAJIV PRATAP RUDY )


(a) Yes, Sir. The prices of tea, coffee, rubber, arecanut, tobacco and cotton have shown a declining trend during the last few years. The price of pepper has declined only recently.

(b) to (d) : With a view to provide stability as well as assure remunerative returns to farmers, the Government is implementing various schemes under which financial assistance is provided for encouraging extension planting, replanting, rejuvenation pruning, infilling, creation of irrigation facilities and drainage, quality upgradation, etc. In 2000, a price subsidy scheme to support small growers of tea was implemented by the Tea Board. The Coffee Board provides interest subsidy to small growers on loans from Financial Institutions. During August, 1997 to April, 2001, Government had made a market intervention through STC in rubber. Besides, Government also announces minimum support prices for tobacco, rubber and cotton.