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Rabi Conference 2019 MSP Operations 20.09.2019

Get insights into Price Support Scheme, Market Intervention Scheme, State Procurement, and more. Track the progress and key initiatives in MSP Operations for notified crops. Stay updated on government schemes and procurement activities.

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Rabi Conference 2019 MSP Operations 20.09.2019

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  1. Rabi Conference 2019 MSP Operations20.09.2019 Department of Agriculture, Cooperation & Farmers Welfare New Delhi

  2. Umbrella Scheme of PM AASHA Remunerative Prices for MSP Notified Crops DAC&FW implements • Price Support Scheme (PSS)- Pulses, Oil Seeds & Copra • Price Deficiency Payment System (PDPS)- Oil Seed States/UT may choose either PDPS or PSS for a particular oilseed for entire state for the Season • Pilot of Private Procurement and Stockiest Scheme (PPSS)- in Selected District/ APMC - Oil Seeds. DFPD implements • MSP OPERATION -Wheat, Paddy and Coarse Grains Ministry of Textile implements • MSP OPERATION - Cotton and Jute

  3. Year 2018-19- Kharif 2018-19 and Rabi 2019 (under PSS+PDPS)

  4. Status of PSS Procurement for Kharif Season 2019-20 Qty in MT

  5. Other Schemes- Discounted Pulses Scheme • One time measure for 12 months, or complete disposal of 34.88 lakh MT of Pulses, whichever earlier. • Central Subsidy of Rs. 15/- per Kg. for welfare schemes e.g. MDM,PDS, ICDP etc. • States/UT to send indent & Deposit advance amount with CNA and makes arrangement for lifting of paid stock. • As on 13.09.2019 - 9.20 LMT of Pulses allocated to 14 States /UT. Lifting – 8.40LMT • PSS 5.93 LMT and PSF- 3.27 LMT • Advance received -Rs 2429.60 Crore. • States Implementing the Scheme: • Maharashtra, Tamil Nadu, Tripura, Himachal Pradesh, Karnataka, Andhra Pradesh, Gujarat, Kerala, Daman, Madhya Pradesh, Chhattisgarh, Nagaland, Uttar Pradesh and Uttarakhand.

  6. Market Intervention Scheme (MIS) • Procurement of agricultural/horticultural commodities generally perishable in nature and not covered under PSS(no MSP). • Precondition for implementation, over the previous normal year • at least 10% increase in production Or • 10% decrease in the ruling prices • The procurement of 20% production at Cost of Production (MIP). • The Loss upto 25% of cost shared 50:50 between GoI and State Govts ( 75:25 for NE States).

  7. Preparedness for Procurement: KMS 2019-20 • All sanctions under PSS issued within 72 hours. • Govt. Guarantee to the tuned of Rs. 40,500 cr. issued to NAFED and FCI. • Regular Video Conference with state Govt./ UTs is being organized. • Day to day monitoring of implementation through a Committee headed by Chief Secretary and District Level Committee headed by District Magistrate in the State.

  8. Expectation from States • State should send proposals complete in all respect as per prescribed format in guidelines. • Provision of sufficient working capital to make timely payments to farmers. • Mapping of logistics arrangements for procurement well before the start date • Clarification pertaining to Kharif Season 2019-20 sanction awaited from the States of UP (Moong, Urad, Groundnut, Sesamum), Maharashtra (Moong). • Audited Statement of Account for Kharif Season 2018-19 for PDPS still awaited from Govt. of Madhya Pradesh.

  9. Thank You

  10. Year 2017-18 – (Kharif 2017-18 & Rabi 2018) (under PSS) Qty. in MT / Value in Rs. Crore

  11. Procurement of Foodgrains • DFPD is responsible for MSP Operations of Wheat, Paddy & Coarse grains – FCI is the Central Agency • Central Government is encouraging Decentralized Procurement (DCP) Operations - States to procure & store for their needs • 15 States/UTs have adopted DCP mode for procurement of paddy/rice and 8 States/UTs have adopted DCP mode for procurement of wheat. • Major shares of procurement is done by State Government(s) & its agencies. Approximately 98% of paddy/rice and 89% of wheat is procured by State agencies. • Entire Central Pool Stock in Non-DCP States and surplus Stock in DCP States is taken over by FCI from State Agencies.

  12. Trends of Procurement - Wheat Production, Procurement and MSP of Wheat (In lakh MT) * As per 4th Advance Estimates of Ministry of Agriculture

  13. Trends of Procurement - Rice Production, Procurement and MSP of Rice (In lakh MT) * As per 4th Advance Estimates of Ministry of Agriculture # As on 26.08.2019

  14. Procurement of Coarse Grains • Coarse grains are procured in decentralized mode by State Agencies – State Plan is approved by DFPD. • Procured stock is to be distributed by the States under targeted Public Distribution System (TPDS) or Mid Day Meal (MDM)/ICDS (Integrated Child Development Schemes). • During the Kharif marketing Season 2018-19, this Department approved the 14,60,591 MT quantity of the coarse grains which is highest in last five years and procurement of the coarse grains has reached the mark of 2,05,162 MT as on 15.05.2019.

  15. Procurement of Jute & Cotton Cotton Jute

  16. PSS Pulses Stock Qty in LMT

  17. PSS Oilseeds Stock Qty in LMT

  18. Proposal under Consideration of DAC&FW • Procurement of Pulses and Oilseeds under revised Private Procurement Stockist Scheme (PPSS) • Meeting held with States under the Chairmanship of VC NitiAayog • Procurement of FAQ crop by Private agencies upto 40% of production. • If PPSS is not implemented by States then under existing PSS upto 25% of State production. • Empanelment of private agency by state govts. • Online modalities for prompt payment. • Fixed service charges After examination as per due procedure approval of competent authority will be sought.

  19. Procurement of Wheat by DFPD Qty in LMT

  20. Qty in LMT Procurement Rice by DFPD * As on 08.07.2019

  21. Procurement Coarse Grains by DFPD

  22. Budget • Government Guarantee for PSS operations

  23. Status of Pulses & Oilseeds Procurement during Previous Years • For Kharif Marketing Season 2018-19: • Sanctioned orders under PSS issued for procurement of 37.78 LMT having MSP Value of Rs. 19254.50 Crorefor pulses and oil seeds. • Procurement in Karnataka, Tamil Nadu, Telangana, Maharashtra, Utter Pradesh, Madhya Pradesh, Rajasthan, Andhra Pradesh, Haryana and Gujarat (Odisha procurement not undertaken) • Procurement done upto 18.03.2019, 17.19 LMT of MSP value of Rs. 9,507 Crore. Procurement of Tur in Karnataka, Tamil Nadu, Maharashtra and Gujarat is in progress. Procurement of Tur in Madhya Pradesh and Andhra Pradesh is yet to commence. • Based on the proposal of Madhya Pradesh under PDPS for Soyabean sanction accorded for 16.82 LMT under PDPS. • For Rabi marketing Season 2019-20: • Sanctioned orders issued for procurement of 43.89 LMT having MSP Value of Rs. 19,786.61 Crore for pulses and oilseeds in Tamilnadu, Telengana, Madhya Pradesh, Rajasthan, Andhra Pradesh, Gujarat, Haryana, Maharashtra and Uttar Pradesh.

  24. State wise allocation of pulses

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