Hike In Paddy MSP An Eye Wash: Lok Satta

The Lok Satta Party, on Thursday, termed the hike in the minimum support price of paddy an "eye-wash" since it does not take into consideration the steep increase in costs of production.

The union government raised the MSP for common paddy from Rs. 1,080 to Rs. 1,250 a quintal, and for A-grade paddy from Rs. 1,110 to Rs. 1,280 a quintal, for the 2012-13 kharif season.

In a media statement, P Bhaskara Rao (convenoe, Federation of Independent Farmers' Associations and Lok Satta Party Secretary) recalled that the Swaminathan Commission had recommended that the MSP should be at least 50% more than the cost of production.

He observed that the cost of production has spiraled in the last few years because of the increase in costs of inputs like seeds, fertilizers and pesticides and laborers' wages.

The union government's decision falls far short of the commission's recommendation, he said.

Bhaskara Rao said that the state government has failed to ensure MSP for paddy during the crop year 2011-12.

He added that it has hurt the farmer further by enforcing a ban on the movement of paddy and rice outside the state, in contravention of laws and Central guidelines.

It was only after the Lok Satta Party defied the illegal ban by launching a movement that the farmers received the MSP, he said.

He said that the farmers' leaders demand that the entire country be treated as one zone, and the farmer be given freedom to move his produce wherever there is demand.

Instead of leaving procurement to millers, the Andhra Pradesh government must enter the market like its counterparts in Punjab and Chattisgarh, he suggested. (INN)