Question : Price Stabilisation Fund

(a) whether the Government has created or proposes to create a Price Stabilisation Fund to check abnormal rise in prices of key items, particularly pulses, onions and potatoes and also to help farmers in case of distressed sale of their produce, if so, the details thereof;
(b) whether the Government has approved shifting of the Price Stabilisation Fund from the Ministry of Agriculture and Farmers Welfare to the Ministry of Consumer Affairs, Food and Public Distribution, if so, the details and the objective thereof; and
(c) whether there is a proposal to utilize a portion of this fund by the Government agencies involved in direct procurement from farmers to encourage more production of pulses, if so, the details thereof?

THE MINISTER FOR
CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
(SHRI RAM VILAS PASWAN)

(a) : Yes, Madam. A plan scheme called Price Stabilisation Fund (PSF) has approved by the Government with an outlay of Rs 500 cr during the 12th Five-Years Plan to support market interventions for price control of agri-horticultural commodities. Currently, the scheme covers only potato, onion and pulses.

(b) : Yes, Madam. The PSF plan scheme has been transferred to the Department of Consumer Affairs w.e.f 1st April, 2016.

(c) : For creating the buffer stock of 1.5 lakh tonnes of pulses, the Government agencies are permitted under the PSF plan scheme to procure directly from farmers/farmers’ association at farm gate/Mandi at the prevailing market.
*****