In the pre-Budget submission to the finance ministry on Wednesday, farmer organizations and agri specialists pressed for MSP based on realistic cost of production, increased diesel subsidies, and allowing new technology such as Genetically Modified Organisms (GMOs). Pankaj Chaudhary and Bhagwat Karad, Ministers of State for Finance, held the first virtual pre-Budget consultations with members of the agriculture and agro-processing industries.
P Chengal Reddy, Chief Adviser of the Consortium of Indian Farmers Associations (CIFA), stated that the government increase priority sector loans to agriculture by 25% to attain the goal of doubling farmers’ income.
He proposed that the government’s advisory body on agricultural pricing policy, the Commission for Agricultural Costs and Prices, be given autonomy in determining the Minimum support price (MSP) by determining true costs of production.
To boost production, Reddy advocated for permitting “technologies including GMO” to be used in a time-limited manner. He strongly supported for immediate approval of ICRISAT and ICAR genetic technology.
CIFA also recommended that actions be taken to address the labour shortage and excessive labour costs. MNREGA, he added, should be linked to all agricultural activity.
Reddy also sought for lower pesticide taxes and the availability of 5,000 litres of fuel every season for harvesting and transplanting at a 50% subsidy. Ajay Vir Jakhar, the chairman of the Krishak Samaj, tweeted that he took part in the pre-Budget discussions on agriculture.
“The government has to develop a thorough pre-budget consultation process system to have beneficiaries assess programmes so that departments can alter and reset their own programmes for better results,” he said.
Jakhar claimed that green revolution states ensured India’s food security “To ensure India’s nutrition security, the central government must now fund a transition in green revolution states. It is important to stress that governments are not in a position to share the transition costs.”
He also called for a food-systems policy that includes the health of people and the environment as a whole.
T V Somanathan, Finance Secretary and Secretary of Expenditure; Ajay Seth, DEA Secretary; Tarun Bajaj, Revenue Secretary; and Rajesh Verma, MCA Secretary were also present at the meeting.