Government Committed to Ensuring MSP for Farmers: Sunil Kumar Singh, AMD, NAFED
20-Jan-2025 07:44 PM
Government Committed to Ensuring MSP for Farmers: Sunil Kumar Singh, AMD, NAFED
New Delhi: Speaking at the SAAF 2025 seminar in Sri Lanka, Sunil Kumar Singh, Additional Managing Director of NAFED, emphasized the government’s commitment to maintaining price stability for the benefit of both farmers and consumers through timely and practical decisions. He highlighted that due to favorable monsoon rains and weather conditions, pulse production in the 2024-25 season is expected to increase compared to last year. The Ministry of Agriculture has estimated tur production to rise by 2.5%, from 3.417 MMT last year to 3.502 MMT this year, and has approved procurement at Minimum Support Price (MSP).
During the seminar, it was noted that tur production in India is projected to reach 3.8 MMT, with Myanmar producing 0.375 MMT and African countries also reporting favorable yields. This indicates that tur availability will remain steady throughout the season, helping stabilize prices.
The current rabi season is also expected to see good production of chana and masoor, as sowing has been satisfactory and soil moisture levels remain favorable. The Ministry estimates kharif moong production to rise by 20%, from 1.154 MMT to 1.383 MMT.
Other production estimates shared during event includes:
Lentil in India: 1.66 MMT
Urad in India: 2 MMT
Urad in Myanmar: 1.05 MMT
Challenges and Government Interventions
The El Niño phenomenon had caused below-average production of key pulses like tur, urad, and chana during the 2022-23 and 2023-24 seasons, due to erratic and deficient rainfall in major pulse-producing states. Low government stocks, trade disruptions, and speculative trading further complicated price stability efforts. In response, the government implemented several proactive measures aimed at balancing the interests of both consumers and farmers, including:
1. Promoting domestic pulse production.
2. Adjusting import-export policies to ensure availability and affordability.
Key Measures Taken:
1. Removal of Procurement Ceilings: The procurement ceiling under the Price Support Scheme (PSS) for traditionally imported pulses (tur, urad, masoor) was removed, guaranteeing 100% procurement at MSP for these crops in the 2024-25 season.
2. Pre-Registration for Assured Procurement: NAFED and NCCF facilitated pre-registration of farmers, distributed seeds, and conducted awareness programs to expand pulse production beyond traditional growing regions.
3. Duty-Free Imports:
- Duty-free import of Tur, Urad, and Lentil extended until March 31, 2025.
- Yellow peas import duty-free until February 28, 2025.
- Duty-free import of desi chana allowed till March 31, 2025.
4. Retail Price Management: Sale of chana dal, moong dal, and masoor dal at subsidized rates under the Bharat brand continues, alongside regular dialogues with the Retailers Association of India.
These initiatives have helped reduce CPI inflation for pulses from 19.54% in January 2024 to 3.83% in December 2024, significantly improving supply chain efficiency and stabilizing prices.