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Cabinet Committee clears new procurement policy

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Published: 03:08 GMT, Sep 13, 2018 |
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The Centre has announced a ₹15,053 crore scheme to ensure that farmers growing oilseeds, pulses and copra actually get the minimum support prices (MSP) they are promised for their crops every year.

The umbrella policy — Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA) — was approved by the Cabinet Committee on Economic Affairs yesterday (Wednesday).

According to an official statement, it clubs together an existing procurement scheme with newly introduced options — meant for oilseeds only — of additional procurement by private traders or a cash payment scheme.

Apart from the ₹15,053 crore to be spent over a two-year period to implement the scheme, the Cabinet approved an additional government credit guarantee of ₹16,550 crore for agencies undertaking procurement. “The government is working with a holistic approach… Increasing MSP is not adequate and it is more important that farmers get the full benefit of the announced MSP,” said the statement.

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