India Pulses and Grains Association welcomes Government move to increase MSP

New Delhi, June 2nd, 2016: Responding to the announcement by the central Government of an increase of the Minimum Support Price (MSP) of pulses for the Kharif season to Rs. 425 per quintal and a bonus of Rs. 425 per quintal, India Pulses and Grains Association (IPGA), India’s apex body of pulses trade and industry has expressed satisfaction over the move.

In an official statement released today it said: This is an extremely welcome move by the government. Over the past few months, cultivation and procurement of pulses, especially Tur dal has seen a dramatic decline. India is the world’s largest producer, consumer and importer of pulses. However the production is far behind the domestic requirement of the country. To encourage it, the government needs to build a favourable environment for the entire value chain of pulse cultivation, production and consumption in the country.

Welcoming the move by the government, the Vice-Chairman of the India Pulses and Grains Association (IPGA), Bimal Kothari said, “We are very happy that the government is looking at various measures to encourage the production of pulses in the country. As India has to import large quantity of pulses to meet the domestic requirement, it is important that the government undertakes major steps to encourage pulse production by farmers. India has imported 57.90 lakh tonnes of pulses in the last financial year, which has been a record import so far. While announcement of an increase in MSP is one of the steps, it is also important that the government ensures consistent and strict implementation of the incentive across the country.”

Arguing for an extension to the incentive all-year round, the Association also made a pitch for direct procurement by the government and introducing pulses into the PDS distribution stream.

“We hope that the government does not restrict it to the Kharif season only and extends it across the year. In addition if the farmers are not getting the MSP for their produce, the government should intervene and procure it directly from them. Not only would this provide a security to the farmers for their produce, it would also enable the government to view various distribution options like the PDS. Pulses are the main source of protein for many in the country and its inclusion in the PDS would be a beneficial step. We hope that the government uses this announcement of the MSP as one of the first steps to build a favourable environment for cultivation of pulses in the country”, added Mr. Kothari.