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Pawar hints at higher bonus Chandigarh, October 23 The Minister said the matter was pending before the Union Cabinet and the issue of bonus on paddy and some additional subsidy to the agriculture sector for this specific crop would be announced within the next week. He indicated that the Centre was also reviewing the minimum support price for wheat and other crops. “I am aware that the input costs in terms of use of diesel generator sets for irrigation and more use of fertilisers, etc make a good case for Punjab farmers and the Centre is inclined to enhance remuneration,” he said, adding that he did not want to go into the specifics as the matter was already before the Union Cabinet. Currently the MSP for paddy is Rs 950 for the common variety and Rs 980 a quintal for the A-grade variety. For wheat, the MSP last season was fixed at Rs 1,080 per quintal. A higher bonus is being considered for all crops as the entire country has been affected by a scant monsoon. The total cultivation of paddy due to delayed and lesser rains had gone down by about 60 lakh hectares, but the Union Minister added that the nation had enough foodgrain stock and there was no need to worry on that account. “This will not have any impact on the public distribution system (PDS); some states like Karnataka have sought higher allocation of foodgrain, and this can easily be met from the national reserves.”He said although the procurement had already started, the government could not announce the bonus earlier due to the imposition of the model code of conduct due to elections in some states. “Now that the results are out, the Cabinet will be able to take a decision soon.” He said in the case of Punjab, the government had a very good way of keeping records, therefore no farmer who has sold his produce to the government agencies will be deprived of the bonus. “But bonus is only for those who sell to the government agencies and not to private traders. Despite a drought (shortage of 19 per cent rainfall), the central government was hoping to procure 85 lakh tonnes of rice as compared to 80 lakh tonnes last year. He said the government hoped to make up for the shortfall in the area under cultivation in the Rabi and summer crops. He said Chief Minister Parkash Singh Badal had met the Prime Minister and discussed the hardships faced by the Punjab farmers. “This year created special conditions and the Centre is inclined to compensate the farmers for these,” he added. He pointed out that not only Punjab, but Haryana, too, had asked for subsidy on agricultural produce. Referring to sugar imports, Pawar said sugar prices would stabilise now as there was sufficient supply in the domestic market following imports of raw and white sugar. Imports have been allowed with a view to check further rise in its prices. The Centre recently extended the duty free import of refined sugar till December 2010 to check the domestic price rise. Referring to sugar imports, Pawar said sugar prices would stabilise now as there was sufficient supply in the domestic market following imports of raw and white sugar. Imports had been allowed with a view to check further rise in its prices. The Centre recently extended the duty free import of refined sugar till December 2010 to check domestic price rise.
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