Mysuru Farmers Seek MSP for Crops, Health Insurance & Collateral-free Loans

Farmers in Mysuru have submitted their wish list to Chief Minister Basavaraj Bommai ahead of the State budget. 

The, as well as minimum support price for farm produce, as done in Telangana, Punjab and Tamil Nadu. 

The association has also sought a new farm loan policy for benefiting farmers, who are in distress. 

In a letter to the Chief Minister, Association President Kurubur Shanthakumar proposed that the government deduct one rupee per tonne of sugarcane sold to sugar factories, with the government contributing an equal amount to the introduction of a health insurance scheme for sugarcane growers' families. This will lessen the strain on the government and also make it more effective than the Yashaswini health insurance scheme. 

He cited Telangana as an example, which has introduced Rs.5 lakh healthcare scheme for farmers. 

The leader also recommends the creation of procurement centers to purchase various sorts of farm produce at subsidized prices, as is done in Telangana, Punjab, and Tamil Nadu.

The funds that these States get from the Centre for this should be extended to Karnataka and a delegation of State MPs must be taken to the Prime Minister for getting it sanctioned at the earliest, he suggested. 

In light of COVID-19, steps must be taken to allow banks to provide collateral-free loans of up to 3 lakh based on the RTCs of farm land, , he said, suggesting reforms in farm loan policy. 

Impact of COVID-19 on smallholder farmers in India: 

Nearly 90% of India’s agricultural sector is made up of small and marginal farmers. These farmers are particularly vulnerable to economic shocks include those sparked by COVID-19 lockdowns. 

COVID-19 has had three major impacts on India's agricultural markets: 

• Differential impacts on staple versus perishable foods

• Disrupting labor supply chains

• Ongoing consequences of ineffective social safety nets