Even as farmers agitating in opposition to farm legal guidelines have been demanding confirmed Least Assistance Price tag (MSP), the the greater part of agricultural households in India are not even conscious of the MSP strategy, and the percentage of output bought by households under the MSP assortment among to 24.7 for every cent (apart from sugarcane). Paddy and wheat rising households dominate the charts of MSP recognition and output bought under the MSP.

Apparently, not even 50 for every cent of households rising numerous crops for sale are conscious of procurement businesses.

Circumstance Assessment of Agricultural Households and Land and Holdings of Households in Rural India – 2019 (National Sample Survey – NSS 77th spherical) disclosed the MSP recognition info. About 40.7 % of paddy rising households are conscious of MSP (July- December 2018) and fifty two.8 for every cent paddy rising households claimed recognition about MSP among January- June 2019. About 39.8 for every cent sugarcane rising households, followed by 31.7 for every cent bajra rising households, 30.7 for every cent cotton grower households and 28.three for every cent soybean rising households claimed recognition about MSP (July –December 2018).

Involving January 2019-June 2019 more than 50 for every cent of sugarcane rising households claimed recognition about MSP. About 41.2 for every cent of arhar rising households, 39.2 rapeseed grower households and 37.one for every cent of wheat grower households claimed recognition about MSP.

Procurement businesses

The percentage of households that claimed recognition about procurement businesses under MSP assortment among three.one to 40.three for every cent (apart from sugarcane). Paddy rising households top rated the chart when it comes to the optimum percentage of output bought under MSP.

The Shanta Kumar Committee report, introduced in 2015 asserted that only six for every cent of all farmers benefited from MSP by means of the sale of meals grains to an formal procurement company, according to info of the NSS seventieth spherical.

The governing administration of India announces Least Assistance Prices (MSP) for 22 significant agricultural commodities of Good Normal Excellent (FAQ) each yr in equally the crop seasons soon after using into account the suggestions of the Commission for Agricultural Expenses and Prices (CACP). The procurement at MSP is accomplished by the Union and State Companies under numerous strategies of the governing administration.

Union Minister of Agriculture and Farmers Welfare Narendra Singh Tomar informed the Lok Sabha in July this thirty day period that MSP policy has practically nothing to do with new farm legal guidelines. Farmers are totally free to offer their create to the governing administration procurement businesses at MSP or Agricultural Generate Sector Committee (APMC) markets or by means of agreement farming or in the open up current market, whichever is beneficial to them.