With maize, green gram prices tumbling far below MSP, Karnataka CM urges PM’s immediate support

Minister hands over CM's letter in Mangaluru calling for NAFED/FCI procurement and relaxation of quality norms, citing prices falling far below the Centre's Minimum Support Price.
Health and family welfare minister Dinesh Gundu Rao handing over the CM's memorandum to PM Narendra Modi at Mangaluru International Airport on Friday morning.
Health and family welfare minister Dinesh Gundu Rao handing over the CM's memorandum to PM Narendra Modi at Mangaluru International Airport on Friday morning.Photo | Express
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MANGALURU: Dakshina Kannada district in-charge minister handed over a detailed memorandum from Karnataka Chief Minister Siddaramaiah to Prime Minister Narendra Modi when the Prime Minister arrived at Mangaluru International Airport on Friday morning. The letter, presented on behalf of the Chief Minister, highlights the severe financial distress being faced by farmers across the state due to the steep fall in market prices of maize and green gram (moong).

The minister stated that the memorandum was personally given to the Prime Minister to draw his urgent attention to the crisis and to appeal for immediate intervention from the Union Government. According to the Chief Minister’s letter, lakhs of farmers in Karnataka are experiencing a price collapse, with the current market rates falling far below the Minimum Support Price (MSP) declared by the Centre.

Karnataka has cultivated maize over 17.94 lakh hectares and green gram over 4.16 lakh hectares this monsoon, with an estimated production of 54.74 lakh metric tonnes of maize and 1.983 lakh metric tonnes of green gram. However, instead of benefiting from this abundant yield, farmers are facing severe distress due to poor market demand and reduced prices. Even though the Centre has fixed the MSP for maize at Rs 2400 per metric tonne and for green gram at Rs 8768 per metric tonne, the actual market prices in Karnataka have crashed to Rs 1600–1800 for maize and around Rs 5400 for green gram. The letter explains that this drastic fall has caused widespread hardship among the state’s farming community.

The Chief Minister has urged the Prime Minister to intervene immediately by directing NAFED, FCI and NCCF to begin procurement of maize and green gram at MSP without delay. Since maize is not included in Karnataka’s Public Distribution System (PDS), farmers are unable to access stable prices, making central procurement essential to prevent further losses.

The letter also calls for mandatory direct procurement of maize by ethanol production units from farmers or Farmer Producer Organizations, noting that several units currently source their supplies from traders, thereby bypassing farmers and undermining the purpose of MSP and central incentives.

The memorandum highlights Karnataka’s substantial capacity for ethanol production, with 49 units capable of producing 272 crore litres. Despite this high potential and the state’s large surplus of maize, Karnataka has been allocated only a small share in the 2025–26 ethanol procurement plan. The Chief Minister states that states with surplus maize, like Karnataka, must receive a higher allocation to ensure stable demand and fair prices for farmers.

Another concern raised in the letter is the impact of large-scale maize imports from Myanmar, Ukraine and other countries. These imports, the CM argues, have pushed domestic prices downward and forced Indian farmers into distress sales. The memorandum requests the Centre to immediately restrict such imports to safeguard the livelihoods of local farmers.

The Chief Minister has also sought relaxation of quality norms for green gram procurement under MSP. Due to unseasonal rains, a portion of Karnataka’s green gram crop has developed 6–10% discoloration. Since current norms allow only up to 4%, the CM urges the Centre to permit procurement of produce with up to 10% discoloration, emphasising that the crop remains edible and fit for consumption despite slight colour changes.

The letter concludes with an appeal to the Prime Minister to extend timely support to Karnataka’s farmers, who contribute significantly to national food security, ethanol capacity, and rural economic growth. The minister said he hoped the Union Government would respond quickly and take necessary steps to protect the interests of the state’s agricultural community.

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