Cabinet nod for minor forest produce MSP

The cabinet Friday approved the marketing of minor forest produce through the minimum support price (MSP) route to provide a social safety net to forest dwellers.

The scheme will ensure the tribal population gets a remunerative price for the produce they collect from the forest. It would also provide alternative employment avenues to them, an official release said after a cabinet meeting chaired by Prime Minister Manmohan Singh.

An estimated 100 million forest dwellers depend on the minor forest produce (MFP) like tendu, bamboo and tamarind for food, shelter, medicines and income.

"The scheme seeks to establish a system to ensure fair monetary returns for forest dweller's efforts in collection, primary processing, storage, packaging and transportation while ensuring sustainability of the resource base," the release said.

The centrally-sponsored scheme also seeks to get them a share of revenue from the sale proceeds with costs deducted.

The central government will contribute Rs.967.28 crore as assistance while the states will give Rs.249.50 crore for the current plan period (2012-17).

The scheme would cover 12 MFPs and the responsibility of purchasing them will be with state-designated agencies.

The scheme supports primary value addition as well as provides for supply chain infrastructure like cold storages and warehouses.

The tribal affairs ministry will be the nodal ministry for implementing and monitoring the scheme.