Rs 143 per quintal MSP hike fails to cheer paddy farmers in Thanjavur, Tiruvarur

The government should have taken into account the increase in the input prices.
Image used for representational purpose.
Image used for representational purpose.

THANJAVUR/TIRUVARUR: The farmers in the delta districts of Thanjavur and Tiruvarur have expressed dismay over the Cabinet Committee on Economic Affairs (CCEA) increasing the minimum support price (MSP) of paddy - both grade 'A' fine variety and common variety - by only Rs 143 per quintal. The new price will come into effect from October 1, 2023.

As per the announcement, the CCEA has approved Rs 2,203 per quintal (100 kg) as MSP for grade 'A' (fine) variety and Rs 2,183 for a common variety for paddy for the kharif marketing season of 2023-24. However, the farmers here have sought revision to the price due to a host of factors, including rent, input costs and increase in labour cost. P S Masilamani, the state general secretary of the Tamil Nadu Farmers Association (AIKS), said, "Even as the input costs, including that of fertilisers, the rent for agriculture implements and labour cost have shot up by 25%, the government hiked the MSP only by Rs 143 per quintal. The government should have taken into account the increase in the input prices."

He pointed out that the government is not making use of the comprehensive cost (C2), which includes "imputed costs of family labour, imputed rent of owned land and the imputed interest on owned capital."

"The Swaminathan commission recommended the procurement price should be 50% over and above the cost of production (C2). If this forms the basis, the procurement price will be much higher," added Masilamani. At present, the farmers of the state receive Rs 2,160 for the 'A' grade (fine) varieties. This includes the incentive of Rs 100 given by the state government. The common variety gets Rs 2,115, which includes the state government incentive of Rs 75. R Sukumaran, a farmer from Orathanadu area, concurring with Masilamani, said, "As the cost of inputs, including diesel, has increased, the MSP needs to be hiked even further."

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