Lucknow, Feb 29: After Punjab and Karnataka, Uttar Pradesh is all set to introduce contract farming policy for farmers in the state to help them sell their produce directly to multi-national companies (MNCs) looking for quality raw material, a top government official has said.
Under the policy, expected to be released within two months, the food processor would be allowed to directly approach the farmer for his requirements.
''The farmer in turn would keep a pass book maintained by the processor...The government will not interfere unless required,'' horticulture secretary Anil Swaroop said.
Talking on the sidelines of a pre-launch press briefing of 'India Expo -2004' here, Swaroop said that the state would appoint arbitrators who would interfere only if required.
''A trust has to be developed between the farmer and the food processor. While farmers want a surety that their produce would be bought, the processor wants a regular supply from the farm,'' the official added.
In western Uttar Pradesh, farmers are directly selling Basmati rice to exporters and other traders as per their requirement. ''Haldiram, in fact procures most of its potato from up these days,'' added Swaroop.
The process of contract farming was initiated by former Agriculture Minister Hukum Singh in the previous Mayawati government.
The government is ready to amend the Mandi Act to allow farmers take input and advice from the companies and sell them the produce directly. The government, which is impressed by the way farmers in Karnataka have benefitted from contract farming, said the scheme would help agriculturists from eastern and central UP.
Under the contract farming system, companies which require agricultural produce as raw material provide training, guidance, fertilizers and even seeds to farmers willing to take up the project. The produce, which is according to their requirements, is purchased to prepare eatables. Potatoes, honey, 'amla', banana, girkins, litchi and tomatoes are grown as per the companies' requirements. Bureau Report