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Govt fix MSP for paddy
New Delhi, July 24: Governemnt today fixed Minimum Support Price (MSP) for common and Grade A varieties of paddy at Rs 550 per quintal and Rs 580 per quintal respectively same as last year for 2003-04 season.
New Delhi, July 24: Governemnt today fixed Minimum Support Price (MSP) for common and Grade A varieties of paddy at Rs 550 per quintal and Rs 580 per quintal respectively same as last year for 2003-04 season.
After a meeting of Cabinet Committee on Economic Affairs, official sources said last years special drought relief of Rs 20 per quinatal has been clubbed with MSP.
Sources said the paddy MSP was part of the annual exercise of fixing support prices for kharif crops including oilseeds and pulses.
They said while technically it will be a Rs 20 a quintal hike in the support price, clubbing of last year's MSP with the SDR (special drought relief) will in effect mean, the 'real' MSP would be the same as last year. The government has accepted the recommendation of the Commission on Agricultural Costs and Prices (CACP) on MSP (Minimum Support Price) for paddy.
CACP had recommended clubbing last year's MSP for paddy at Rs 530 and Rs 560 per quintal for two grades with the one-time Special Drought Relief (SDR) of Rs 20 per quintal.
For 2002-03 season, the CACP had suggested a freeze in the MSP at Rs 530 and Rs 560 per quintal for common and grade 'a' paddy respectively.
Since the recommendation was made in May last year, drought in July led to an SDR of Rs 20 per quintal in September which meant the farmers got Rs 560 and Rs 580 a quintal for the two grades respectively.
Clubbing the MSP and SDR will translate into the same price for the farmers as in the last season. MSPs for kharif crops are generally announced shortly before procurement season begins on October 01. Howeverbowing to a long standing demand of farmers that it be announced before sowing begins in June. The demand was upheld by a high level committee on foodgrains in July last year.
Bureau Report
Sources said the paddy MSP was part of the annual exercise of fixing support prices for kharif crops including oilseeds and pulses.
They said while technically it will be a Rs 20 a quintal hike in the support price, clubbing of last year's MSP with the SDR (special drought relief) will in effect mean, the 'real' MSP would be the same as last year. The government has accepted the recommendation of the Commission on Agricultural Costs and Prices (CACP) on MSP (Minimum Support Price) for paddy.
CACP had recommended clubbing last year's MSP for paddy at Rs 530 and Rs 560 per quintal for two grades with the one-time Special Drought Relief (SDR) of Rs 20 per quintal.
For 2002-03 season, the CACP had suggested a freeze in the MSP at Rs 530 and Rs 560 per quintal for common and grade 'a' paddy respectively.
Since the recommendation was made in May last year, drought in July led to an SDR of Rs 20 per quintal in September which meant the farmers got Rs 560 and Rs 580 a quintal for the two grades respectively.
Clubbing the MSP and SDR will translate into the same price for the farmers as in the last season. MSPs for kharif crops are generally announced shortly before procurement season begins on October 01. Howeverbowing to a long standing demand of farmers that it be announced before sowing begins in June. The demand was upheld by a high level committee on foodgrains in July last year.
Bureau Report