Mandi prices of pulses & oilseeds fall below MSP
By Sandip Das
Mandi prices of most varieties of pulses and oilseeds are ruling below the respective minimum support prices (MSPs), forcing the government to ramp up the purchases of these items at respective minimum support prices (MSPs).
Encouraging crop prospects and liberal imports are the reasons behind the fall in market prices, according to trade sources.
At Latur (Maharashtra), mandi prices of tur on Friday was in the range of Rs 6800/quintal to Rs 7400/quintal against the MSP of Rs 7550/quintal for 2024-25 season. In the last two years tur farmers have been getting around 35% more prices than MSP because of lower output prospects. The government agencies – Nafed and NCCF – have purchased 0.24 LMT of tur so far from farmers against the target of 1 million tonne (MT)
Similarly in the case of chana, which has about 50% share in country’s pulses production, mandi prices in Kota, Rajasthan on Friday was in the range of Rs 4900/quintal – Rs 52000/quintal against MSP of Rs 5650/quintal for current season.
Procurement operations of chana have commenced in Telangana and Andhra Pradesh. Only about 5000 tonne have been purchased in these two states.
The agriculture ministry has sanctioned purchase of 5 MT of pulses – tur, chana, urad, masur and moong – under PSS in the key growing states including Rajasthan, Karnataka, Maharashtra, Madhya Pradesh, Uttar Pradesh, Chhattisgarh and Tamil Nadu in the both kharif and rabi seasons.
Roop Singh, CEO, Uttan Mustard Producers Company, a farmer producer organization (FPO) based in Bharatpur, Rajasthan, the hub of the wholesale trade in oilseed said mandi prices of mustard are currently ruling in the range of Rs 5500 – Rs 5600 / quintal against the MSP of Rs 5950/quintal for 2024-25 rabi season.
“The government purchase is yet to commence which is likely to hit farmers remuneration,” Singh told FE.
The agriculture ministry has sanctioned purchase of 2.8 MT of mustard across key producing states — Rajasthan (1.3 MT) Madhya Pradesh (0.49 MT), Uttar Pradesh (0.47 MT), Haryana (0.33 MT), Gujarat (0.12 MT), Assam (62,774 tonne) and Chhattisgarh (3050 tonne) under PSS for current rabi season.
In addition, MSP purchase of a smaller quantity of groundnut and sunflower has been approved in Telangana under the PSS in the current rabi season.
Meanwhile, the central agencies in association with the state government in the kharif season have purchased close to 2 MT of soybean and 1.5 MT of groundnut in Maharashtra, Madhya Pradesh, Rajasthan, Karnataka, Gujarat, Telangana and Uttar Pradesh respectively from 1.3 million farmers against a small quantity purchased in the previous crop years. India imports 15% to 18% and 58% of its annual pulses and edible oil consumption respectively.
This article has been republished from The Financial Express.