Thursday, October 12, 2000,
Chandigarh, India






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Farmers beg for food
From Chander Parkash
Tribune News Service

BATHINDA, Oct 11 — Paddy growers, who have been at the receiving end of the indifference of official procurement agencies, have now started taking loans to pay for their daily requirements in the grain markets and purchase centres.

Many paddy growers, who have already sold jewellery and livestock to generate money to pay for inputs for the paddy crop over the past months are now finding it difficult to wait for their turn in slow-moving purchase centres. Pressed for cash the farmers have now started raising loans from commission agents and other ‘known’ persons.

Ram Singh, a farmer of Nathana area, said he had been sitting in the ‘mandi’ for the past 12 days and could not celebrate Dasehra with his family. He was spending Rs 100 per day on food and tea and had been borrowing this money from commission agents.

Gurdev Singh, another farmer, said his financial condition was very precarious as his commission agent had refused to give him a loan. He has already defaulted on a bank loan.

Delays and failure to procure paddy by agencies over the past weeks has reduced him to a beggar at the purchase centre.

Farmers say that even though the fields of Punjab are fertile and productive they have begun to yield poverty because of the indifference of the state.

Even those farmers whose paddy crop is procured by government agencies at the minimum support price (MSP) of Rs 540 get only Rs 500 as Rs 40 is pocketed by middlemen.

Mr Jaswant Singh Bhallo, president, Arhtiyas Association, Rampuraphul, alleged that procurement agency official had been charging a commission from farmers for procuring their paddy which ranged from Rs 10 to Rs 40 per bag while rice mill owners too demanded money before giving permission to unload the procured paddy in their premises.

A senior official, while pleading anonymity, pointed out that the paddy procurement crisis had erupted because of the rice exporters’ lobby, which had influenced the decision of the Union Food Ministry on purchases. He said the rice exporters’ lobby was deliberately delaying procurement through stringent specification so that the price of Indian rice in the international market did not fall and they could cash in on distress sales of paddy.

Meanwhile, the huge paddy crop lying in temporary purchase centres and focal points has blocked roads and even dispensaries to a point where even movement of vehicles in rural areas has become difficult as the roads are blocked with paddy.
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CM’s order creates confusion
From Vimal Sumbly
& Iqbal Singh
Tribune News Service

KHANNA, Oct 11- The state government has issued a directive to all marketing committees in the state, who are monitoring the paddy procurement in various mandis to ensure that paddy is not purchased for a price less than Rs 540 per quintal, the minimum support price (MSP) fixed by the Union Government.

A special directive has reportedly been issued by the Chief Minister’s office today to all committees asking them to ensure that the farmers get the MSP for their paddy. However, instead of serving any purpose, the directive created confusion, as no purchases were made. Neither the private commission agents nor the government agencies seemed to be prepared to make purchases.

According to the sources in the local market committee here, a directive was received through wireless from the Chief Minister’s office today around noon that no paddy should be purchased for less than Rs 540 per quintal. The private agencies had also been directed that they would not be allowed to make purchases for less than this amount. The directive has reportedly mentioned in clear terms that any of the government agencies which refused to purchase the paddy at the MSP should list the reasons, in the register maintained by the respective agencies in the mandis.

While the private agencies refused to follow the government directive and stopped purchasing paddy, the government agencies were yet to finalise the details. They also decided not to make any purchases today. No auction was held today due to the confusion on account of the CM’s reported directive.

Probably feeling concerned over the refusal by various government agencies including the Food Corporation of India and private commission agents and rice millers, the government had reportedly decided get tough on the issue. Moreover, the Punjab Agricultural University at Ludhiana has also deputed the claims of FCI Chairman that most of the paddy failed procurement specifications.

The PAU had constituted special committee to look into the claims of the FCI that most of the paddy failed the procurement norms. The Vice-Chancellor of the PAU had already gone on record saying that most of the paddy fulfilled procurement specifications set by the government.

As the purchase of paddy had been stopped, the farmers had to pile up their produce along the GT Road, as there was hardly any space left in an already overflowing grain market supposed to be the largest in Asia.
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