An order has been passed by the Centre for the clearance of the Market Intervention Scheme (MIS) with immediate effect, to help distressed chilli farmers in Andhra Pradesh.
Till 31 May, the Centre said that it will buy chillies at Rs 5,000 per quintal. Earlier, leaders and public representatives from Andhra Pradesh, Hari Babu, along with a delegation of MPs from Andhra, Somireddy Chandramohan Reddy, Laxman, President Bharatiya Janata Party (BJP) and Kishan Reddy, where MLAs from Telangana met Union Minister, M. Venkaiah Naidu, requested for his intervention in the matter.
Mr. Venkaiah Naidu summoned a meeting with the Agriculture Minister, AP and Telangana leaders, and officials of Central and State Governments, wherein the crisis was thoroughly discussed. The Government, following the detailed discussions and submission of data and statistics, assured that it would come to the rescue of the states, under MIS. The Agriculture Ministry, now announced the procurement of red chillies, under the MIS scheme, in both AP and Telangana.
Naidu said, he was elated by the decision of the Union Government, and now with this decision the farmers, will not resort to hardship sale at astronomically lower prices. The States would immediately swing into action, and provide assistance to the agitating chilli farmers, said Naidu. The Central Government, would always extend its helping hand, when it comes to the issue of the farmers and their livelihood.
The salient features of the scheme are given below:
1) This MIS will remain in force from 2.5.2017 to 31.5.2017
2) The State agencies can procure a maximum quantity of 88,300 MTs of Red Chilli in Andhra Pradesh and 33,700 MTs in Telangana, under the scheme.
3) The Market Intervention Price (MIP) will be Rs.5000/- per quintal of Red Chilli with the overhead expenses of Rs.1,250/- per quintal or actual whichever is less. The purchase tax, mandi tax, godown charges, packing material, loading/unloading, commission, transportation, grading, packaging /stiching charges etc., will be included in the overhead expenses.
4) If any losses incurred, it shall be shared on a 50:50 basis, between the Central and the State Governments. However, the loss is restricted upto 25% of the procurement cost, including the permissible over heads.
5) The scheme will be implemented by the State Agencies. The stocks will be purchased from the Cooperative Societies, farmer’s organizations or directly from the farmers to eliminate the possibility of middlemen taking advantage of the scheme.