Letters: Bail out farmers

A PPP model can work for farmers' inclusion in MSP-based procurement

Business Standard 

With reference to “Farmers left in lurch as suspends pulses procurement” (April 27), adequacy and immediacy of public procurement in accordance with the price support scheme is essential to improve buffer stock management and reduce farmers’ distress. It is observed that procuring pulses or food grains from farmers at the minimum support price (MSP) has been a daunting task for a nodal agency like the Food Corporation India (FCI). After the Decentralised Procurement Policy initiated in 1997-98, state procurement agencies have been entrusted with procurement operations. However, by and large small farmers remain “economically” and “socially” excluded from the benefits of the price support scheme.

A public-private partnership (PPP) model was proposed in 2014-15 as a corrective measure of ill-equipped food grains management by the and state-designate agencies. The model should thus undertake pulse procurement by replicating the direct benefit transfer prototype of wheat and paddy procurement such as e-Uparjan in Madhya Pradesh and the Procurement Automation System in Odisha. While technology-enabled procurement offers a real-time information flow, a model can improve operational efficiency through scientific warehousing and optimising transportation network. Farmers need to be protected as they are seen to be less incentivised in the exchange process, and a model can work for farmers’ inclusion in MSP-based procurement.

Kushankur Dey | Bhubaneswar


can be mailed, faxed or e-mailed to: 
The Editor, Business Standard
Nehru House, 4 Bahadur Shah Zafar Marg 
New Delhi 110 002 
Fax: (011) 23720201  ·  E-mail: letters@bsmail.in
All must have a postal address and telephone number

Letters: Bail out farmers

A PPP model can work for farmers' inclusion in MSP-based procurement

A PPP model can work for farmers' inclusion in MSP-based procurement
With reference to “Farmers left in lurch as suspends pulses procurement” (April 27), adequacy and immediacy of public procurement in accordance with the price support scheme is essential to improve buffer stock management and reduce farmers’ distress. It is observed that procuring pulses or food grains from farmers at the minimum support price (MSP) has been a daunting task for a nodal agency like the Food Corporation India (FCI). After the Decentralised Procurement Policy initiated in 1997-98, state procurement agencies have been entrusted with procurement operations. However, by and large small farmers remain “economically” and “socially” excluded from the benefits of the price support scheme.

A public-private partnership (PPP) model was proposed in 2014-15 as a corrective measure of ill-equipped food grains management by the and state-designate agencies. The model should thus undertake pulse procurement by replicating the direct benefit transfer prototype of wheat and paddy procurement such as e-Uparjan in Madhya Pradesh and the Procurement Automation System in Odisha. While technology-enabled procurement offers a real-time information flow, a model can improve operational efficiency through scientific warehousing and optimising transportation network. Farmers need to be protected as they are seen to be less incentivised in the exchange process, and a model can work for farmers’ inclusion in MSP-based procurement.

Kushankur Dey | Bhubaneswar


can be mailed, faxed or e-mailed to: 
The Editor, Business Standard
Nehru House, 4 Bahadur Shah Zafar Marg 
New Delhi 110 002 
Fax: (011) 23720201  ·  E-mail: letters@bsmail.in
All must have a postal address and telephone number
image
Business Standard
177 22