Issues |
Present Position |
Demand by CIFA |
a) Fixing of MSP for Wheat. |
1) Recommendations of various Committees viz., Shri. L.K. Jha, Dr. Ashok Mitra, Dr. S.R. Sen, Prof. C.H. Hanumantha Rao and Prof. Alagh under costs of cultivation scheme of CACP have not been implemented while computing costs of cultivation at grass root level. |
2) No transparency in collection of data and Farmers not involved. |
3) Previous years data is considered for fixing current year MSP without taking into consideration the cost index. |
4) The methodology followed, regarding imputing family labour, rental value of land, interest on capital, depreciation on fixed assets and agricultural machinery, cost of transportation, marketing charges and storage is not in conformity with recommendations of various Committees and working groups. |
5) There is no relevance between the costs actually incurred by Farmers, the data obtained from grass root level, computed by Agricultural Universities, State Governments, Directorate of Economics & Statistics, analyzed by Commission for Agricultural Costs and Prices and finally fixed by GOI. |
6) The MSP fixed by GOI is only Political Support Price (PSP) but not based on the data obtained from various sources. |
7) According to Govt. sources Rs.1 hike in diesel price increases the cultivation cost by Rs.100 per hectare and diesel prices have risen 13 % since last year. |
8) MSP is being announced after the farmers commence Kharif and Rabi sowing operations. Thus farmers have no choice of crop selection. |
9) MSP for Wheat fixed by GOI do not adopt the same parameters as adopted in fixing industrial product prices and Government employees salaries. |
10) The production cost of Wheat is estimated at Rs. 1000/- per qt. during the year 2008-09. As per recommendations of National Commission on Farmers headed by Prof. M.S. Swaminathan, the MSP be fixed by taking all costs incurred by farmer by adding minimum 50% of it (C2+Minimum 50% of it). |
11) Thus MSP is required to be fixed at Rs.1500 per qt. (Rs.1000+50% i.e. 500), where as the Government has fixed only Rs. 1000 per qt. |
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1) Recommendations of various Committees under Costs of Cultivation Scheme be implemented and all costs actually incurred by farmers taken into consideration while collecting data at grass root level. |
2) The Whole system be reviewed, transparent procedures, methodology evolved and CACP be strengthened by inducting more Farmers representatives including women by granting autonomous status to enable farmers to protect their interests. |
3) MSP should be all costs actually incurred by Farmers by adding minimum 50% of it i.e. (C2+Minimum 50% of it) as recommended by National Commission on Farmers headed by Prof. M.S. Swaminathan.
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4) MSP be increased proportionately whenever agricultural inputs prices are increased by taking into cost of index into consideration as being followed in the case of salaries of employees of various sectors.
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5) MSP be fixed and announced 6 months before Kharif and Rabi harvests reach markets as recommended by experts groups.
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6) CIFA demands MSP of Rs. 1500 per qt. (Rs.1000 +50% i.e. 500) for Wheat.
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b) Purchase (Procurement) of Wheat affected by floods etc.,
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1) When the Crops are affected by floods, the colour of the produce will be affected. |
2) Government agencies i.e. FCI and Market Yards are reluctant to pay the MSP fixed to the concerned crop. |
3) The State Governments are approaching GOI of India for permission for purchasing produce affected by floods.
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4) This procedure is time consuming and Farmers are resorting for distress sale of produce.
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5) Neither the govt. of India nor the State Governments are coming to the rescue of affected farmers.
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1) Mandatory provisions be evolved, FCI Acts and Rules amended for purchasing produce affected by floods.
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2) The state Governments should amend marketing committees, Acts and Rules facilitating purchase of produce affected by floods. |
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c) Seed replacement - Production of certified Wheat Seed by public and private institute. |
1) Supply of certified Wheat Seed from public institutes and private companies account for about 20 percent. The remaining 80 percent requirement is met either by storing own seed or by farmer-to-farmer exchange. Much progress has not been made for 100% replacement of certified Seed.
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2) The International & National, Research Institutions and Commissions appointed for the welfare of farmers emphasized the need of 100% replacement of Seed for improving quality & quantity of yields. This item of work is required to be tackled on war-footing basis. |
3) State governments have no sufficient resources to supply quality seed to farmers.
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1) Production of certified Wheat Seed by public and private institutes be increased under PPPs Scheme by offering incentives and tax holidays to the Seed producers. |
2) A specific action plan be evolved for 100% seed replacement. |
3) Resources be provided by Government of India.
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4) Area specific and high yielding varieties be produced and distributed at affordable prices. |
5) Seed banks be established to ensure availability of Seed at the time of natural calamities. |
7) Farmers' organizations, NGOs and other private Seed producers be encouraged for Seed production with incentive packages. |
8) Seed Village Scheme be implemented. |
9) Training be imparted to agricultural graduates, progressive farmers and seed societies for producing quality Seed. |
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d) National Policy on Soil Health. |
1) Consequent on use of excessive chemical fertilizers and not following rotation of crops, the soils are badly degraded and needs immediate treatment to improve quality and quantity of yields. The International, National, research institutions and commissions appointed for the welfare of farmers emphasized the need of soil health. |
2) Budget allocations of Rs.75 crores made during 2008-09 for providing Mobile, soil testing laboratories is yet to be grounded. |
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1) National policy on soil health be evolved to rectify and restore soil fertility. |
2) Mobile soil testing laboratories be introduced and soil tests conducted at the fields in the presence of farmers. |
3) Soil health cards be provided to farmers. |
4) Quality micro nutrients be provided for balancing soil health. |
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e) Standardization of Organic Fertilizers & Extension of incentives on par with chemical fertilizers. |
1) Vermi compost, Vermi wash, Organic manures and bio-fertilizers are manufactured by several small scale units without maintaining standards and quality. |
2) The farmers are put to crop losses due to adulteration and high prices. |
3) No specifications are fixed for manufacturing organic fertilizers. |
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1) Specifications and standards be fixed for organic fertilizers. |
2) The incentives extended to chemical fertilizers be extended to organic fertilizers also. |
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| f) Research & Development. |
1) The research and development failed to produce short duration and drought resistant varieties. |
2) No plan of action for producing required quantities of breeder, foundation and certified seed. |
3) The wheat productivity in India during 2006-07 is 2.63 Mt./ha., which is below the world average productivity of 2.80 Mt./ha. during the same year. |
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1) Priority be assigned for development and supply of High Yielding and Hybrid Varieties. |
2) Development of varieties having Disease Resistance/ Tolerance particularly against Rusts, Karnal Bunt and Blight be ensured. |
3) Development of varieties suitable for Rainfed/ Limited Irrigation condition be ensured. |
4) Research on Integrated Pest Management be ensured. |
5) Research on effective control measures for problematic weed like Phalaris be ensured. |
6) Development of storage structures and control of storage pests be ensured.
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7) Rodent control technologies be developed and implemented. |
8) The research institutes should honour its primary responsibility and develop elite germplasm and release high yielding varieties regularly. |
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g) Transfer of Technology. |
1) Transfer of improved Wheat production technologies remain as most neglected component and consequently the benefit of improved varieties and production technology could not be harnessed.
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2) Dissemination of improved technologies from lab to land consumes long time and adoption by Farmers is not ensured. |
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1) Emphasis be given on a cropping system approach rather than a single crop development approach. |
2) Improved crop production technologies be propagated based on agro-climatic zones through demonstrations on Farmers fields and organizing training programmes for Farmers including women. |
3) Quick dissemination of knowledge on improved technologies be ensured. |
4) Aggressive transfer of production technologies be ensured through Frontline demonstrations and Block demonstrations involving SDA, KVKs, NGOs, SAUs and private sectors. |
5) Bottom up approach of technology development and dissemination by involving farmers should be ensured. |
6) ATMA concept of NATP project be extended to all States and districts in the country. |
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| h) Mechanization. |
1) Agriculture labour shortage is a major constraint in completing sowing and harvesting operations in time. |
2) Physical drudgery involved in culture practices driving away the workforce to urban areas for better jobs. |
3) Traditional culture practices consume more man hours and also physical drudgery on the part of both labour and animals. |
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1) Innovative bullock and power drawn modern implements be invented and introduced for timely completion of sowing and harvesting operations. |
2) The agricultural implements be provided with 75% subsidy. |
3) Agricultural implements be made available on customs hire service through village panchayats, co-operatives, self help groups. |
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i) Crop Insurance. |
1) The premium collected on crop loans ranges from 2% to 7%. |
2) All risks are not covered. |
3) Procedures adopted for indemnifying losses are against farmers’ interest.
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4) In the case of automobile and industrial sectors actual loss is indemnified and in the case of agriculture sector 5 years average / threshold yield is adopted. |
5) The village is not adopted as unit. |
6) The insurance claims are not settled in time and farmers are required to pay extra interest and penal interest on the loans borrowed. |
7) In other countries the premium is subsidized and farmers’ interests protected while indemnifying losses by extending financial support. |
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1) The premium be reduced by subsidizing as in the case of other countries. |
2) Cumbersome procedures adopted for indemnifying losses be reviewed and crop losses indemnified as in other sectors and countries. |
3) Crop loss claims be settled before the due date fixed for repayment of loan. Interest if any payable after due date consequent on delay in settling claims be borne by crop insurance companies.
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4) Remote sensing technology be applied for settling crop loss claims in a time bound programme |
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j) Food Corporation of India -review of functioning. |
1) There is no equipment for testing quality norms. |
2) The manual testing adopted is biased. The traders are benefited and farmers are resorting distress sale. |
3) In the pretext of inferior quality the FCI and market yards are imposing cut of 1 to 2 kgs. per Wheat bag. Unilateral decision is taken without scientific testing equipment and the farmers are resorting for distress sale.
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1) Scientific equipment be deployed for testing quality of Wheat. |
2) National Wheat Commodity Committee of CIFA be consulted by FCI for organizing training programmes with a view to create awareness among Wheat Farmers on quality norms. |
3) Unilateral imposition of 1 to 2 kgs. cut per Wheat bag be dispensed with and farmers prevented from distress sale.
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4) The FCI should provide warehousing, pledge loan facilities to enable farmers to dispose produce till he obtains remunerative price. |
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| 2. MINISTRY OF COMMERCE |
a) To ban import of Wheat without approval of Farmers Associations. |
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1) Government is importing Wheat which results fall in the Wheat prices. |
2) The Government importing Wheat even though there was huge stock within the country. |
3) The import policies are arbitrary and are harmful to the interest of farmers. |
| 4) There is no long term policy of imports and exports based on supply and demand. |
| 5) The present import and export policy is beneficial to traders but not farmers. |
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1) Long term import and export policies be evolved based on demand and supply. |
2) Government not to allow import of Wheat without consulting and approval of farmers’ organizations. |
3) Export of Wheat be permitted when the procurement fulfills buffer stocks norms.
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| 3. MINISTRY OF FINANCE |
| a) In adequate Agriculture Credit. |
1) The total area cultivated under Wheat is estimated to be about 6.6 crore acres. |
2) The Costs of Cultivation per acre is estimated at Rs. 25,000/-. |
3) The total credit required for Wheat Farmers is estimated at Rs. 1,65,000 crores per annum. |
4) But statistical data exhibit that 1/3rd of Wheat Farmers alone are covered under Banks Credit. The balance depend on private lendings. |
5) The scale of finance fixed for Wheat is ignored and the banks are resorting for under finance and driving Farmers for private borrowings. |
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1) All Wheat Farmers in the Nation be provided with bank loans. |
2) The scale of finance fixed for respective crops be sanctioned and disbursed to the farmers. |
3) Micro Credit Institutions and Post Offices be involved for providing agricultural credit to Farmers. |
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b) Rate of Interest on Agriculture Loans. |
1) Different Banks are charging different rates of interest ranging from 7% to 14% on Agricultural Loans. |
2) Lesser interest is charged on housing and Industrial Loans. |
3) Agriculture is in priority sector and hence lesser rate of interest be charged on Agriculture Loans. |
4) The National Commission on Farmers headed by Prof. M.S. Swaminathan recommended 4% rate of Interest on Agriculture Loans. |
5) The Banks are charging compound interest, service and other charges etc.
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6) The banks are insisting no due certificates from farmers. |
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1) Simple rate of interest at 4% be charged on agriculture loans without collecting any service and other charges. |
2) Instructions be issued to banks for not insisting no due certificates from farmers. |
3) Adequate credit be provided to Wheat Farmers based on the scale of finance fixed. |
4) The practice of charging higher rate of interest after due date and penal interest be scraped in the case of agricultural loans. |
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c) Waiver of total loans on failure of two crops and interest on failure of one Crop.
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1) Failure of two consecutive crops either in dry or irrigated conditions will cause irreversible damage to the family of the farmer. |
2) The agricultural activity is spread over long term and the farmers not only invest money but also their own family labour. |
3) It is not possible under any circumstances to recoup the loss. The Crop Insurances Schemes in place are against the interest of Farmers. |
4) Re-scheduling of crop loans is not beneficial to the farmer as he can not increase the production or he will get 100% more price. |
5) Thus the farmer cannot recoup from the losses sustained.
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1) Agricultural debt waiver and debt relief scheme, 2008 has not provided anticipated relief to Farmers. |
2) The total loans be waived by Government in the case of two successive crop losses. |
3) Interest be waived in the case of one crop loss. |
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| 4. MINISTRY OF IRRIGATION AND POWER |
a) Providing of irrigation facilities to dry land Wheat farmers in the country.
b) Free electricity to groundwater user Wheat farmers.
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1) 25% of dry land Wheat farmers are dependent on rains. Since rains are highly unpredictable the farmers are put to immense difficulties. |
2) Providing water to agricultural activity is a constitutional obligation of the government. |
3) The farmers depending on groundwater are investing Rs.1.5 to Rs. 2 lacs. on bore-well and pump set. |
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1) All the Wheat lands in the country be provided with irrigation facilities. |
2) The ground water user farmers be provided free electricity. |
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