New Delhi, September 27
The Centre is likely to announce relief for farmers in the form of bonus, waiver of interest for a year on loans and availability of foodgrains at below poverty line (BPL) prices.
Sources said the Commission on Agricultural Cost and Prices (CACP) has suggested a bonus of Rs 20 per quintal over the MSP for paddy in view of the drought conditions. It has also suggested reduction in the hike in fertiliser prices.
The
government had yesterday announced the minimum support price (MSP) for paddy, but had retained the prices at last year’s level.
Agriculture Ministry officials said the CACP on whose recommendations the MSP was fixed, was asked by Agriculture Minister Ajit Singh to look at the issue afresh in view of the problems faced by farmers due to drought this year. They said the first CACP report had not taken into account the drought conditions.
The fresh recommendations of the CACP were submitted to the government this week and a decision on these would be taken at the next meeting of the Cabinet, sources said.
Agriculture Minister officials said with the MSP having been announced, the Punjab Government could start procurement of paddy immediately. On the issue of proposed reduction of levies to 4 per cent from 11.5 per cent, which is a major concern for the Punjab Government, the officials said it was only a proposal which had not been approved by the government.
They said levies were
unlikely to be reduced this year and the issue would also figure at the meeting of Chief Ministers on October 18.
The Agriculture Ministry, it is learnt, has submitted a note suggesting that levies should not be reduced this year.
Meanwhile, the Punjab Government is thinking of calling an all-party meeting to firm up response on Centre’s decisions regarding the state’s demands. The state government had sought an MSP of Rs 660 per quintal for common paddy and Rs 726 per quintal for Grade A and Rs 100 bonus above the MSP due to additional expenditure incurred by farmers.
The final decision at the all-party meeting would be taken on the return of Chief Minister Capt Amarinder Singh from Kathua, where he has gone for campaigning. PCC chief H.S. Hanspal told The Tribune here that the meeting could be convened in the beginning of next month.
Both the Congress and the Shiromani Akali Dal have accused each other of letting down farmers.
