[Jan] The MSP issues

Question 1

How many crops are announced to have MSP?

Answer 1

MSP is announced for 25 crops (including sugarcane). The MSP of two crops “Toria” and “De-husked Coconut” is derived from the MSP of “Mustard” and “Copra” respectively.

Question 2

Can government procure all crops in MSP?

Answer 2

Govt. procures mostly wheat and rice and to a certain extent coconut, pulses. It is practically not possible for Govt. to procure all the crops. If Govt procures all the 25 crops at MSP which will be a huge financial burden then the farmers who are cultivating Fruits, Vegetables, livestock which consists of almost 45% of the value and for which there does exist any MSP, these farmers will also shift to those 25 crops. And all the diversification of crops that Govt is trying will go for a toss. And this whole procurement will be a huge financial burden PLUS the it will lead to a huge corruption also which is already there in MSP procurement of wheat and rice.

Question 3

Can govt. ever procure all these crops?

Answer 3

• NO GOVERNMENT (PAST, PRESENT OR FUTURE) will ever be able to procure with all its budgetary resources.
• if govt will procure only few crops in some regions then all the farmers in that region will move only to those few crops and you know what problem Punjab and Haryana is facing