Madhya Pradesh CM wants Centre to buy gram from farmers at MSP of Rs 3100

Madhya Pradesh Chief Minister Shivraj Singh Chouhan on Tuesday requested Union Agriculture Minister Sharad Pawar to direct Nafed to purchase gram crop from state farmers at a Minimum Support Price (MSP) approved by the Centre, to shield them from losses.

Chouhan has also written to Prime Minister Manmohan Singh seeking his direction to the National Agricultural Cooperative Marketing Federation of India (Nafed) to purchase the crop at the MSP of Rs 3,100 per quintal, sources said. The prevailing market rate of gram is around Rs 2300-Rs 2500 per quintal.

The chief minister maintained that the farmers are incurring losses due to the difference between the MSP approved by Centre and the market rate.

Madhya Pradesh is the largest producer of gram in the country. "The Centre had earlier given Rs 306 crore as subsidy for encouraging farmers to produce pulses following which the state registered an increase of 10 per cent in the total area of gram crop cultivation and is expecting an increase of 24 per cent in its total production this year," sources said quoting Chouhan's letter. Chouhan took up the issue with Pawar at latter's residence in New Delhi.

Sources said that Pawar assured the chief minister of full cooperation but also pointed out that Centre needed a fund of Rs 6,000 crore for the purpose and also the prior permission of the Prime Minister and the Finance Minister. According to sources, Chouhan will meet Prime Minister Manmohan Singh and Finance Minister P Chidambaram on the issue soon.