State govt okays CM’s Onion Incentive scheme, to ensure fair price to farmers

The state government today granted approval to the Chief Minister’s Onion Incentive Scheme to ensure fair price to the farmers for onions.

Under the scheme, Cooperative Marketing Committees of the state, Agricultural Producer Organizations, Public Sectors of the state, private institutions and businessmen will be encouraged not to purchase onions from farmers for less than Rs. 800 per quintal.

It has been noticed that on the arrival of onion in Madhya Pradesh their prices drop in the Mandis but on the other hand they get good prices in other big cities like Delhi, Kanpur, Lucknow, Kolkata and Ranchi.

Therefore, traders of the state who buy onions from farmers for more than Rs 800 per quintal and sell it in the Mandis outside the state will be
given grant up to 75 percent of the expenditure on transport and storage.

Besides, if the state’s co-operative marketing committees or the Agricultural Producers Organization sell the onion purchased from farmers outside the state, then they will be provided with cent percent compensation of the cost of transport and storage.

Despite all this, if prices fall below Rs 800 per quintal in the market in the months of May and June, then the difference amount between the model selling price of the fixed mandis and the Support Price of Rs 800 per quintal will be directly credited to the bank account of the registered farmers who sell onions during this period.

Chief Minister Shri Kamal Nath has appealed to the farmers not to bring their entire onion in the market for sale, so that it does not cause unnecessary pressure on its price.

He said that the farmers should sell onions only for the amount of money required at the time of arrival of the crop. Farmers can store the remaining produce of onions. This will not affect the prices of onions in the Mandis and the farmers will get fair prices of their crop.

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