The farmer of the country was cheated and deceived while determining the MSP for Kharif crops!

Statement by Shri Randeep Singh Surjewala, General Secretary, Indian National Congress

  • Randeep Singh Surjewala

The Modi government has once again shown cruelty and barbarism to the ‘Dhartiputra’ farmer in the Kharif crop price determination, while acting as ‘Shakuni’ and playing the ‘Chausar’ of deceit and treachery with the farmers. The anti-farmer face of the Modi government was exposed, when the Modi government betrayed the farmers of the country while fixing the prices of the crops for Kharif 2021-22.

Even during the deep crisis of the pandemic, the farmers by producing record quantum of food grains with their hard work, are trying to salvage the sinking economy of the country and are also meeting the foodgrain requirement of the country. Despite this, the oppressive Modi government is continuously attacking the agriculture and farm. Anti-farmer MSP determination of Kharif crops is also a part of this conspiracy.

  1. In the country, the rate of Inflation i.e. the rate of price rise is 6.2 percent, but the average increase in MSP for Kharif crops is 3.7 percent only. How will the farmer recover the cost of the crop? The average rate of price rise in the country is 6.2 percent, but for the farmer, this price rise has been 20 percent. This can only be gauged from the fact that in the last 13 months alone, the price of the farmer’s fuel, diesel, was increased by 24.18 per litre. Modi government has increased excise duty on diesel only by 820 percent in last seven years. Not only this, 5 percent GST was imposed on fertilizers, 18 percent on pesticides and 12 percent on tractors and farming equipments. The prices of fertilizers and pesticides have increased by almost 100 percent in the seven years of the Modi government. Thus, the increase in the prices of diesel-fertilizers-seeds-pesticides-electricity-agriculture equipment, effected by the Modi Government, has increased the cost of cultivation for the farmer by about 20,000 per hectare. As against this, the average increase in the price of Kharif crops is 3.7 per cent, the fact which is clear from the point number 2 in the chart. In such a scenario, how much the farmer will earn for his livelihood and how shall he be able to survive?
  2. When the Modi government is even denying the cost price of Kharif crops to the farmer - then when will it give ‘Cost + 50% Profit’ to the farmer as promised? As we compare the cost of production of crops announced by ‘Agriculture Cost and Price Commission’ in the states with the freshly announced Kharif crop prices, then it is crystal clear that the Modi government, while fixing the prices of Kharif crops, does not even give the cost price to the farmer. In such a situation, when will the farmer get ‘Cost (C2) + 50% Profit’ as promised by this government before coming to power? If this is not cheating, deceit and fraud with the farmer, then what else it is?

Please refer to the following chart:

Crop Cost of Production C2 (2020-21) per quintal Cost as per the States,C2 (2021-22) Rs per quintal Cost + 50% profit (C2+50%) Rs per quintal MSP 2021-22 (Rs per quintal) Compared to last year % increase Paddy 1,727 1935 (West Bengal) 2,590.5 1,940 3.9 Jowar Hybrid 2,478 2,888 (Karnataka) 3,717 2,738 4.50 Millet 1,579 2,335 (Maharashtra) 2,368.5 2,250 4.7 Ragi 3,004 3,069 (Karnataka) 4,506 3,377 2.5 Maize 1,654 2,061 (Gujarat) 2,481 1,870 1.1 Pigeon pea 5,291 5,462 (Maharashtra) 7,936.5 6,300 5.00 Green Gram 6,110 6,050 (Rajasthan) 9,165 7,275 1.10 Urad 5,133 4,880 (Tamil Nadu) 7,699.5 6,300 5.00 Sunflower 5,027 - 7,540.5 6,015 2.21 Soybean 3,439 3,006 (Maharashtra) 5,158.5 3,950 1.80 Cotton 5,169 5,585 (Maharashtra) 7,753.5 5,726 3.83

  1. Acting under a conspiracy, when the Modi government is deliberately curtailing the procurement of crops on MSP, then what benefit will accrue to the farmers by fixing the MSP? The Modi government believes less in real action and more in creating newspaper headlines. The fact remains that under a well-thought-out conspiracy, the Modi government is curtailing the procurement of crops on MSP, so that gradually the MSP automatically meets its end. When there is no procurement at MSP, then what is the point in giving MSP? The proof of this is before us. The Modi government procured 389.93 lakh tonnes of wheat at MSP in the year 2020-21. But in the current year till April 30, 2021 (in the year 2021-22), the quantum of wheat procured at MSP has been reduced to 271 lakh tonnes. That means, in the current year of 2021-22, 118.93 lakh tonnes of lesser procurement of wheat was made at MSP viz-a-viz the procurement during last year of 2020-21. Similarly, in 2019-20, 519.97 lakh tonnes of paddy was purchased at MSP. But in 2020-21, to weaken the MSP, the Modi government procured only 481.41 lakh tonnes of paddy on MSP, which was 38.56 lakh tonnes less as compared to the previous year. In this way, a conspiracy is being hatched to finish MSP.
  2. The farmer has again been kicked on the belly by the Modi Government reducing the budget of the Pradhan Mantri AnnadataAaySanrakshan Abhiyan (PM - AASHA). In simple terms, Pradhan Mantri AaySanrakshan Abhiyan is also known as ‘Bhavantar Yojana’. It was repeatedly said that if the farmer does not get the fair price for his crop, then either the government will purchase under this scheme or the amount between the MSP and the market price will be transferred in the farmer’s account. But the Modi government has curtailed the budget of this scheme itself. In the year 2019-20, the budget of PM- AASHA was Rs.1,500 crores, which was reduced to Rs.400 crores in the year 2020-21,that means a curtailment of Rs. 1,100 crores in this scheme. Can the farmer of the country get any benefit under ‘Bhavantar Yojana’ with a meagre allocation of Rs. 400 crores? Now, this is the most opportune time that the Prime Minister, Shri Narendra Modi should come forward to fulfill his promise of providing ‘Cost + 50 percent Profit’ as MSP and abrogate the three black anti-farmer laws, otherwise the day is not far, when the Annadata of the country will uproot this BJP government with the might of his vote.

Based on the Statement of June 10, 2021