Give Legal Backing to MSP says CACP

Give Legal Backing to MSP says CACP

Issue :-

  • Legal Backing to MSP for Kharif Crops announced by Centre on Wednesday.
  • It was recommended by Government Panel (The Commission for Agricultural Costs and Prices).

Introduction :-

  • The The Commission for Agricultural Costs and Prices (CACP) has also recommended that the Centre bring out a legislation which would give that announcement some legal teeth by giving farmers the right to sell their produce at those prices.

Report – Price Policy for Kharif Crops for the Marketing Season 2018-19  :-

  • The CACP notes that the procurement mechanism is broken for most crops and for most farmers.
  • It has been observed that often farmers of remote areas do not have sufficient access to APMCs [Agricultural Produce Market Committees] and their potential market is local ‘haats’ where their produce is sold below MSP.
  • Strong procurement operations need to be expanded to neglected regions, particularly eastern and north eastern regions.

About CACP – Commission for Agricultural Costs and Prices :-

  • The Commission for Agricultural Costs & Prices (CACP) is an attached office of the Ministry of Agriculture and Farmers Welfare, Government of India.
  • Currently, the Commission comprises a Chairman, Member Secretary, one Member (Official) and two Members (Non-Official). The non-official members are representatives of the farming community and usually have an active association with the farming community.
  • It is mandated to recommend minimum support prices (MSPs) to incentivize the cultivators to adopt modern technology, and raise productivity and overall grain production in line with the emerging demand patterns in the country.
  • The Commission for Agricultural Costs and Prices is a statutory panel under the Ministry of Agriculture which makes the recommendations for MSPs for 23 kharif and rabi crops. Its suggestions are not binding on the government.

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