Kerala to Buy Produce Directly From Cash-Strapped North Indian Farmers at MSP
Kerala to Buy Produce Directly From Cash-Strapped North Indian Farmers at MSP
The minister said the government is already in talks with the leaders of the All India Kisan Sabha. Initially, the state is looking to purchase onions, pulses and grains. Issac added that if the model works, they will extend it to other items.

Thiruvananthapuram: In a move to help cash-strapped farmers in north India, the LDF government in Kerala has announced that it would directly procure produce from them at Minimum Support Price to ease their pain over low prices.

This was announced by state finance minister Dr TM Thomas Issac. “The proposal is very simple. We are willing to enter into long-term agreement with farmers’ organisations, and co-operatives for regular supply to Kerala. They will have to store it there and transport it to Kerala," he said.

The politically loaded messaging in the announcement made ahead of the general elections was not lost on anybody as depressed farm prices have been a constant thorn for the present NDA government. It also comes just days after the NDA announced that it would transfer Rs 6,000 directly into the accounts of the farmers in a bid to woo the agrarian community.

The finance minister said the move was to address the chronic food deficiency in the state.

"The state does not cultivate onions. Even in case of pulses, only 5 percent of what is required is produced in Kerala. The prices of onion is Rs 10, 15 or 20 in Kerala while farmers (in north) are committing suicide because they get only 2 rupees per kg. So we could purchase from the farmers directly," he said.

The minister said the government is already in talks with the leaders of the All India Kisan Sabha. Initially, the state is looking to purchase onions, pulses and grains. Issac added that if the model works, they will extend it to other items.

The minister added that the leaders of the kisan sabha had contacted him and asked if the state could help farmers in anyway, and that is how they thought of direct purchase. He said the purchases should begin next month.

"We are not thinking in terms of subsidising. It is a business proposal. We have got two powerful distribution agencies. One is in co-operative sector and the other is from public sector. We can have an understanding of a price which is index to market price but there will be a minimum guarantee. Maybe we will have to step in a bit when the price crashes,” he added.

The minister also said this was a political statement because economics is a distant form of politics. He added that other states and public distribution systems can also think of buying directory from farmers and avoid middlemen altogether.

He further said that in a situation where there is a lot of farmer distress, this gesture would also be appreciated as a solidarity initiative.

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