Opinions

We are open to increasing cash payment to farmers: Radha Mohan


After Interim Budget 2019 set aside Rs 6,000 per year for small and marginal farmers,
Union Agriculture Minister Radha Mohan Singh tells ET that the government is open to increasing the cash payment to farmers under the PM-KISAN scheme.
Edited excerpts:

You have written to all chief ministers for data on farmers for the Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) scheme. By when will the first instalment reach farmers?

The government, in accordance to its philosophy of increasing both agriculture production and farmers’ income, has created history in Interim Budget 2019-20 by making provision for income support and other schemes with focus on rural India. This income will be transferred directly to the bank accounts of vulnerable, landholding farmer families, in three equal instalments of Rs 2,000 each. While the financial year will end on March 31, we are giving retrospective benefits from December 1, 2018. This programme will be fully funded by the Government of India. It will also protect farmers from the clutches of moneylenders and ensure continuity in their farm activities.

A letter was sent to all chief ministers on February 6 and my ministry is following up with all the states for an early uploading of beneficiaries’ data on PM-KISAN portal. Our officials recently held a meeting with all states via video-conferencing. States have given an assurance of providing the database within 15 days. Farmers already have Aadhaar, Jan Dhan and mobile numbers. We are hopeful that in 15 days we will have the database of small and marginal farmers. The first instalment for the period December 1, 2018-March 31, 2019, will be paid by March 31 after identifying eligible farmers.

From where will the ministry start disbursing the cash transfer?

We will be disbursing the amount to all states based on the database we receive. We are in touch with all the states. On February 24, the scheme will be launched, and the first disbursal to all beneficiaries whose data is loaded on the portal will be made by March 31.

What about those who could not register themselves on the portal by March 31?

My ministry will continue to make disbursement to all the remaining beneficiaries for the first instalment as envisaged in the scheme as we receive database on our portal. After March 31, the second instalment will be paid.

Lack of updated land records of small farmers may pose problems in implementation, particularly in big states such as Bihar and Uttar Pradesh where land records may not be fully digitised.

All states are working to implement various farmer welfare schemes. They must be having land records as well. Land record management is a state subject. A cut-off date has been fixed for the scheme. Any issue raised by states relating to the status of land records will be dealt on a priority basis.

There have been concerns that Rs 6,000 per year is too little.

Small and marginal farmers do understand the benefits of Rs 6,000 assured cash a year. How will people living in AC rooms understand the importance of Rs 500 a month? Small farmers with less than 2 acres of land often do not have money to school their children or buy seeds.

Is the government open to increasing the amount?

Yes, we are. As and when we have more resources, this amount will definitely be increased. Besides this, states also have their own guaranteed cash schemes, like Rythu Bandhu in Telangana. Then there is Krushak Assistance for Livelihood and Income Augmentation (KALIA) in Odisha. A day after the interim budget, Jharkhand too announced a similar scheme. Farm loan waiver of Rs 52,000 crore was given in 2008 and it benefited 3 crore farmers. There have been many anomalies and the CAG has been reporting many cases of corruption as well. Even now in Madhya Pradesh, many such cases are being unearthed. In contrast, we are giving Rs 75,000 crore per year directly to farmers. This translates into Rs 7.5 lakh crore in 10 years.

What is the government’s view on replacing all existing subsidies like crop insurance, interest subvention and fertiliser subsidy with income support?

Assured income and income support schemes will continue with existing subsidies that the farmers are getting through various programmes. Ending other subsidies will be detrimental to farmers.

The budget made provision for interest subvention for farmers holding Kisan Credit Cards (KCC). How can this benefit farmers when around 7 crore of them do not have such cards?

We have started a massive programme under which almost 50% farmers, who do not have KCC, will get benefits by simply filling an application. Simultaneously, we have requested states to expedite the process of providing KCC by holding camps. So far, farmers had to pay various fees for applying for a KCC. In the interest of farmers, Indian Banks’ Association has decided that these charges will not be levied for loans up to Rs 3 lakh. Now, livestock farmers and fishermen will be able to avail loans at a concessional rate of 4%.

The average rate of growth of agricultural GDP in the last four years (2014-15 to 2017-18) was only 2.2%. Are the budget announcements enough to double farmers’ income by 2022? Is the PM’s promise on track?

The Narendra Modi government is bound to double farmers’ income by 2022. For this, we are following a comprehensive policy. Through a series of schemes, improvements and programmes, we are confident that our farmers will be able to get the right price for their produce and grow crops at a low price. This will ensure more income in the hands of farmers. Agricultural growth rate is important but more important is that farmers get the right price. Towards this end, our government is working for the marketing of produce. Input-output management is a key focus of the Modi government. Fixing the minimum support price and providing income support will be helpful in doubling the income of farmers by 2022.

Is the Centre thinking of paying the difference between minimum support price (MSP) and market price at an all-India level?

We have started the Pradhan Mantri Annadata Aay SanraksHan Abhiyan (PMAASHA) to shore up the prices that farmers get for their produce. Under this, Price Support Scheme (PSS) will give remunerative prices to farmers for pulses, oilseeds and copra, while Price Deficiency Payment Scheme (PDPS) will cover all oilseeds (the Centre ensures remunerative price to farmers without physical procurement. The difference between MSP and market price is paid directly to the farmers’ bank account). In the case of oilseeds, states will have the option to roll out Private Procurement & Stockist Scheme (PPSS) in select districts where a private player can procure crops at MSP when market prices drop below MSP. The private player will then be compensated accordingly.

Due to lack of adequate cold storage, 40% of fruits and vegetables are wasted. What is the government doing to give farmers access to cold storage?

To link fresh produce from the village to market and consumers, staging cold rooms under the modern cold chain scheme, integrated pack house for value addition, reefer vans, precooling units and retail outlets are being promoted under schemes by the Mission for Integrated Development of Horticulture and the Ministry of Food Processing Industries.

MSP is announced for only 23 crops. What about the other crops?

In the case of crops for which MSP is not notified, if such produce forms more than 10% of a state’s agricultural output in the previous year and if prices in the market fall below a certain level, then the government shall intervene through Market Intervention Scheme (MIS). Before us, only 7 lakh tonnes of pulses and oilseeds were procured under UPA. We purchased 85 lakh tonnes. The purchasing body NAFED (National Agricultural Cooperative Marketing Federation of India) had become unprofitable under UPA. We not just purchased more from farmers but also turned NAFED profitable.

The collapse of cattle market has led to stray cattle menace in many states.

The Rashtriya Gokul Mission has been started for the first time by the Modi government to promote the country’s bovine and to preserve their genetic resources in a scientific and holistic form. The Rashtriya Kamdhenu Aayog has been established to enhance the production and productivity of cows. It will also look at effective implementation of laws and welfare schemes for cows. In order to check the problem of stray cattle, we have started a novel project on sex-sorted semen (in this chances of cows delivering a female calf are 80-90%). Pilot projects are on in Amreli (Maharashtra), Motihari (Bihar), Varanasi (UP), Shahjahanpur (UP) and Jodhpur (Rajasthan).

But bulls are also required.

Under Gokul Mission we have created special farms for bulls across the country to improve the breeds. Semen collected from these farms is utilised for sexed semen project. On one hand, we will ensure the birth of more cows via sex-sorted project, and on the other, bulls of good breed will be maintained in farms. It will take at least 50 years to get good and widespread results. Bulls will be born, but in small numbers. They will not be wiped out entirely.

The agritech community feels left out, with no policy push in the budget.

We have been working on promoting innovation and entrepreneurship in agriculture. To encourage agritech startups, we arranged Agriculture Grand Challenge to find commercially viable solutions for challenges in agriculture and to support technology base by funding and mentoring the best concepts.

Do you feel agrarian crisis could affect the electoral prospects of the BJP?

The budgetary allocation in agriculture — Rs 1,41,174.37 crore in 2019-20 — is 16.6% more than Rs 1,21,082 crore during UPA 2 (2009-14). Who will make farm distress an issue during elections? Jab chunav aata hai tab karz maafi ka bukhaar chaddta hai (They start talking about loan waiver only when an election approaches). Since they (Congress) were removed from power, they had been crying about farm distress. But now people understand. They waived off loans but most farmers could not benefit from the scheme as many take loans from sahukars (moneylenders).





READ SOURCE

Leave a Reply

This website uses cookies. By continuing to use this site, you accept our use of cookies.