Question : EFFECT OF MGNREGA ON AGRICULTURE COST



(a) whether there has been increase in the cost of agriculture as a result of Mahatma Gandhi National Rural Employment Act (MGNREGA);

(b) if so, the details thereof;

(c) whether the Government propose to accept the recommendations of the Commission Agricultural Cost and Prices for (CACP) to establish inter- relationship between MGNREGA and agriculture;

(d) if so, the details thereof; and

(e) the criterion adopted by the Government to implement the said recommendations?

Answer given by the minister



MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE (SHRI MOHANBHAI KUNDARIA)

(a) & (b): The Commission for Agricultural Cost and Prices (CACP) in its report on Price Policy for Kharif Crops of 2013-2014 has mentioned that labour costs have risen rapidly, by almost 20 per cent per annum, during the last 3 years, which have pushed the cost of production in agriculture. Farmers also complain about serious shortage of labour during peak seasons largely perceived due to Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA).

(c) to (e): The Commission for Agricultural Cost and Prices in its report on Price Policy for Kharif Crops of 2013-14 had recommended fusion between Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) and agriculture operations, wherein half of the wage is paid by the farmers and the other half by the scheme.

Guidelines for conversion of MGNREGA with programmes of Ministry of Agriculture have been issued. Government has notified 30 new works under MGNREGA, majority of which relate to agriculture and allied activities.

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