Punjab bats for upward revision of MSP of various crops for Rabi marketing season 2015-16

Chandigarh, August 28, 2014: The Punjab government has asked the Government of India (GoI) to fix the Minimum Support Price (MSP) of various crops for Rabi marketing season 2015-16 at the levels suggested by it.
Showing deep concern over the report of Commission for Agriculture Costs & Prices (CACP) on the price policy for Rabi crops during the marketing season 2015-16 forwarded to the state government to elicit its comments, the Punjab Chief Minister Parkash Singh Badal said that the MSP of crops recommended by CACP in view of bulging centre pool stock and double digit inflation was far lower than the Prices suggested by the state and does not even cover the cost of cultivation of crops. Seeking hike in the MSP of the Wheat from Rs.1450 as recommended by CACP to Rs.1900 per quintal in 2015-16, Badal also sought an upward revision in the MSP of Barley from Rs.1150 to Rs.1517 per quintal. Likewise, he demanded the MSP of Gram to be hiked from Rs.3175 to Rs.3627 per quintal and that of Rapeseed and Mustard from Rs. 3100 to Rs.3484 per quintal.
The Chief Minister further said that it appeared unfair to penalise the farmers in terms of a lower increase in MSP due to a situation caused by improper management of food economy. Badal cited even the National Farmers' Commission had recommended a margin of 50% over and above the cost of cultivation to make the MSP remunerative whereas CACP a marginal increase of only 3.6% in the MSP of wheat, which was the major Rabi crop of the state and occupied about 85% of the cultivated area during the Rabi season.   
Pleading the case for remunerative MSP for the Rabi crops as suggested by the state government, the Chief Minister further pointed out that the cost of agriculture inputs like fertilisers, seeds and labour have increased significantly, which has led to a considerable increase in the cost of production. Likewise, he said that the cost of diesel, which was a primary source of energy for all the mechanised farming operations, has been increasing regularly due to de-regularisation of its prices. The cost of irrigation was also continuously showing upward revision due to lowering of water table and thereby increased investment in deepening of tube wells and replacement of prime movers. The prevailing drought like situation during the monsoon season has further aggravated the situation.  
The Chief Minister further mentioned that CACP has made its recommendations keeping in view the interest of producers, consumers and its effect on other sectors of economy but it was a high time to look into other aspects as well viz. viability of farming, adequacy of farm income and investments required for modernisation of farming and agriculture infra structure. He opined that MSP should also include not only paid-out cost and imputed cost but also the marketing cost and value for managerial inputs of the farmer due to which he managed his farms through the expertise and skills inherited through generations.
The Chief Minister has deputed the state Chief Secretary Sarvesh Kaushal to pursue the entire matter with the Secretary Agriculture, GoI Ashish Bahuguna to impress upon the Centre for seeking upward revision in the MSP of Rabi crops recommended by the CACP in consonance with the prices sought by the state government.