Claiming Indian farmers would benefit to the tune of Rs 62,635 crore, the Narendra Modi government increased Minimum Support Prices (MSP) for crops to be grown this winter. These would be sold in 2019 - when there is a general election to be faced. The increase in wheat MSP has been Rs 105 per quintal, while safflower and lentil (masur) where FPI sell-off intensifies were raised by Rs 845 and Rs 225 per quintal.
If the entire quantity of crops produced this winter is purchased at the government fixed MSP, farmers will indeed benefit; but this is unlikely. Except for wheat and paddy, government, agencies rarely lift other crops (such as pulses or oilseeds) in those quantities. Meanwhile the market price isn't also on par with MSP. The higher MSP might end up proving a cause of disagreement, and it is high time the government realises this.
Copyright©2023 Living Media India Limited. For reprint rights: Syndications Today