In a bid to address the anxiety of protesting onion farmers, the central government has fixed Rs 2,410 per quintal, committed to procuring 2 lakh metric tonnes (LMT) and if necessary, even more. Farmers, in the primary onion-growing regions in Maharashtra have been protesting the decision of imposition of 40% export duty on onions since Monday.
Food and consumer affairs minister Piyush Goyal said, “NAFED and NCCF have opened centres and will procure 2 LMT at Rs 2,410 per quintal which is a historic rate. Till date, onions have not been procured at a rate higher than this. The purpose is to ensure that farmers get a proper rate for onions in the market. If necessary, procurement will be increased beyond 2 LMT so that farmers will get a proper price for onions.”
The minister also appealed to farmers to not resort to panic selling. “We have started procuring onions since yesterday and today the process will be stepped up. I call upon all farmers to sell their onions at a good rate, there is no need to worry. We will procure 2 LMT immediately and if necessary, we may increase it. No one should resort to panic selling. They will get a good rate,” he said.
NCCF and NAFED have started procuring onions from various areas in Maharashtra like Lasalgaon, Pimpalgaon, Nampur, Manmad, Malegaon, Aurangabad, and Ahmednagar in Maharashtra and Shahpur in Madhya Pradesh since Monday and, according to the government, will deepen their operations depending on the demand and need.
Asked how the government arrived at the price of Rs 2,410 per quintal, Maharashtra agriculture minister Dhananjay Munde who met the union food minister said, “The cost of production of onions is dependent on the climate. This year, the climate and rainfall in Maharashtra was not so conducive which is why the cost of production went up. If the cost of production was Rs 14-16, now that production cost has gone up to 18. If the cost of production is Rs 18, the farmer gets Rs 6 over that. We had asked for more. However, this rate that is being offered by the government today has never been offered before.”
Food and consumer affairs minister Goyal, who incidentally hails from Maharashtra, targeted “vested political reasons” of rivals for the farmers’ protests.
The minister said that he has been “in continuous dialogue with honourable CM of Maharashtra, Sh Eknath Shinde ji, both honourable deputy CMs Sh. Devendra Fadnavisji—in fact from Japan, he’s been on the call with me since 6 am in the morning and we have been in regular touch—Mr Ajit Pawar and I have talked several times. The Maharashtra government agriculture minister Mr Dhananjay Munde and other colleagues have come in from Maharashtra. Smt Bharti Pawar, our honourable minister of state for health, has been in dialogue with me for the last three days. And, she was assured by me on 17th August itself after we took the decision to procure. She has also informed the local people at Nashik. I think some elements have been trying to present a wrong picture or create panic. I would assure all the farmers in Maharashtra, Madhya Pradesh, or any other part of the country where onion is produced that they have no reason for worry. NCCF and NAFED are both there to buy onions. And, you will get the correct price for your produce.”
Asked to name the elements, Goyal said, “Rajnitik virodh karne wale log toh sabhi jagah rehte hain na, har ek issue par woh rajniti karte hain. Kisan aur desh hit ke liye woh avashyak nahi hai. Woh rajnitik dal virodh karke kisanon ko bhadkane ki koshish kar rahe hain…unke behekawe mein wo na aye, toh unka behtar hoga (Political rivals are everywhere. They do politics on everything. This is not in the interest of farmers or the nation. These political parties are trying to incite the farmers. The farmers shouldn’t fall for their tactics for their own benefit).”
Nationalist Congress Party (NCP) founder and former agriculture minister Sharad Pawar has also slammed the government and said that onion farmers should be getting Rs 4,000 a quintal. Earlier, former chief minister of Madhya Pradesh and Congress leader Digvijaya Singh had also criticised the imposition of the 40% export duty on onions.
Asked whether the government was confident about farmers calling off their protest, Maharashtra agriculture minister Munde said, “100%. I am personally speaking to the collector, Nagpur, personally speaking to all farmers over there, to all unions of farmers. And they all have faith in the government that they will get Rs 2,410.”
The union food and consumer affairs minister also spoke to the Nashik collector and expected the protest to be called off.
“I don’t think that is an issue that is under consideration at this stage,” said the union food minister when asked whether the government is mulling the import of onions. Despite a delay in sowing of kharif onions, the government estimates don’t indicate a marked fall in production, which is expected to be in the range of 317-318 LMT in line with the production of the last couple of years.
Explaining the rationale behind the central government’s decisions, the union minister said, “There were reports from across the country that consumers were suffering because of the rise in the price of onions and one reason for that is due to weather conditions. Another reason was the delayed sowing of kharif onion due to which there was a suspicion that this year the consumer may have to pay a high price. Keeping this in mind, on the 17th of August, two important decisions were taken: one was to impose a 40% export duty; however, to safeguard the interest of farmers, NAFED and NCCF were asked to procure 2 LMT onions more.”
In a preemptive measure, the government has already started the distribution of onions at Rs 25 per kg for consumers. “NCCF and NAFED are selling onions at a subsidised rate of Rs 25 a kilo in various parts of the country for the consumers. This has already started yesterday and will be stepped up today. In the coming days ahead, it will be made available in all those areas where consumers face difficulty due to the high price of onions. Our effort is to ensure that in all those areas, onions will be made available to consumers at Rs 25 a kg either through centres or through government agencies,” said Goyal. “Both consumers and farmers are invaluable to us.”
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