Tuesday, 23 August 2011

Crop Holiday on Bumper Harvest in AP

Extract from article that appeared in MINT - August 23, 2011

Thousands of farmers are opting to take a break from growing paddy for at least one season.

Rising prices of farm inputs including seeds and fertilizer, a shortage of labour which, when available is becoming increasingly expensive, and lack of procurement by government agencies that have no space to store more foodgrain are responsible for the phenomenon known as “crop holiday”.
“This time, in place of rice, we have decided to cultivate grass for our cattle,” says 63-year-old M. Hanumanth Reddy of Irukodu in Medak district of Telangana region.

“Getting farm labour here is a major problem, and mechanization is not feasible as paddy fields are small and scattered. Even if we take a risk, we are not getting minimum support prices,” Reddy says.

It costs Rs 780-800 to cultivate 1 quintal, or 100 kg, of sona masuri, a premium-grade medium-size rice variety. The minimum support price for paddy set by the government was Rs 1,080 per quintal, but farmers received only around Rs 600-700 per quintal from rice millers who procure their produce, translating into a loss of Rs 100-180 per quintal.

In Andhra Pradesh, farmers are blaming the policies of the Centre as well as the state government for the predicament they are facing.

“Over 5 mt of paddy is still lying in the hands of farmers in Andhra Pradesh with no takers,” says agriculture scientist and food policy analyst Devender Sharma. “If there is normal rainfall, there will be another good crop, only to compound the crisis.”

“The crop holiday problem cannot be seen in isolation, it is a symptom of a bigger crisis that’s going to unfold at a national level in near future,” Sharma warns. “Unless there is an assured procurement and a guarantee minimum support price, farmers will be at a losing end.”
                             ( Pic Source - Mint - August 23, 2011)
The crop holiday in East Godavari is expected to affect the livelihood of around 80,000 farm workers.

“There are serious policy lapses. The state government did not focus on building more mandis (markets) and connecting them to production areas,” says Chengal Reddy, the Head of the Federation of Farmers.

“But it’s not too late. If all the panchayat (village council) buildings can be converted into makeshift godowns, a large portion of the grain can be saved from rotting in the farmers’ hands.”
Read the total article in Mint by Viswanath Pilla here

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