KOCHI: As Finance Minister KN Balagopal is set to present the annual state budget on Monday, expectations are high among rubber and paddy farmers of a potential increase in the prices of the crops.
The Kerala Congress (M), a key ally of the LDF, and the Church have urged the government to hike the base price of rubber to Rs 200 per kg from the current Rs 170. The KC (M), which is gearing up to retain its Kottayam Lok Sabha seat, is optimistic of the budget offering relief measures to support rubber growers.
The issues in the paddy sector is in focus following the suicide of a farmer in Kuttanad, a prominent paddy-growing region in the state. The farmer had blamed the state government and the banks for denying him an agricultural loan.
Though the ruling LDF, in its election manifesto, had promised to raise the support price of rubber to Rs 250 per kg, the farmers hardly expect such an announcement but hope the stabilisation price of rubber will be increased to at least Rs 200 per kg. Echoing that sentiment, Indian Rubber Dealers Association president George Valy said the hike will not cause any loss to the government.
“Currently, there are several plantations that have no tapping. If they are tapped, there will be an additional production of two lakh tonnes of rubber. This will yield a sum of Rs 3,000 crore and the government can collect the resultant tax,” he said. Given the various issues plaguing the paddy sector, the farmer collectives are desperate for relief. The setting up of a revolving fund for the procurement of paddy, disbursement of Rs 218 crore for the rice procured, which has been pending, and raising the price of paddy to Rs 31.35 from the existing Rs 28.20 are among their wish list.
“We expect favourable announcements in the budget. The state government has totally neglected paddy farmers since 202,” said Nelkarshaka Samrakshana Samiti general secretary Sonichan Pulinkunnu.