CONSORTIUM OF INDIAN FARMERS ASSOCIATIONS




Basawaraj Tambake
                     President

P- Chengal Reddy
Secretary General

To,
Shri SHARAD PAWAR JI,
Union Minister for Agriculture,
Government of India,
Room No.199, Krishi Bhawan,
NEW DELHI – 110 001.
  28th July, 2009.
Respected Sir,
   
Sub: Direct Transfer of Fertilizer Subsidy to the Farmers – Request to involve         and consult CIFA before finalizing the Scheme  – Reg.
   
The Hon’ble Agriculture Minister is aware that while presenting 2009-10 Budget, Hon’ble Finance Minister informed the house that “In the context of the nation’s food security, the declining response of agricultural productivity to increased fertilizer usage in the country is a matter of concern.  To ensure balanced application of fertilizers, the Government intends to move towards a nutrient based subsidy regime instead of the current product pricing regime.  It will lead to availability of innovative fertilizer products in the market at reasonable prices.  This unshackling of the fertilizer manufacturing sector is expected to attract fresh investments in this sector. In due course it is also intended to move to a system of direct transfer of subsidy to the farmers”. As a farmers National Level Apex Organization we welcome the proposal.
The Hon’ble Agriculture Minister will agree with us that several stakeholders viz., fertilizer manufacturers, traders, State Agriculture Department and farmers are involved in the system and their views are required to be taken into consideration before final decision is taken and guidelines issued in the matter.
In this context, the CIFA is organizing meetings of stakeholders for obtaining views, in association with IFFCO. We hope to complete the process by 4th week of August, 2009. We also propose to hold a National Level Seminar on the subject at New Delhi during first week of September, 2009,  prepare final recommendations and submit to Agriculture Ministry before 10th September, 2009.
In view of the above we request the Hon’ble Agriculture Minister to consult and involve CIFA before taking a decision and formulating guidelines regarding direct transfer of fertilizer subsidy to farmers.
Thanking you,
Yours Sincerely,
P. Chengal Reddy,
Secretary General.

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