Tamil Nadu Budget 2023: Farmers Demand Pension, Fertilizer Distribution Authority & More

The Tamil Nadu government is set to launch its 2023 budget which the agriculture sector of the state is eagerly anticipating. Farmers have different expectations from the budget, including the promises made in the DK manifesto about paddy and sugarcane procurement prices, a pension scheme for 60-plus farmers, formation of a body for the distribution and production of fertilizers.

In a meeting with stakeholders, the government received plentiful suggestions and demands. These included the above-mentioned paddy and sugarcane price hike, fertilizer distribution authority, and the creation of the state’s very own crop insurance company.

V Jeevakumar, an agricultural activist from Bhoothalur in Thanjavur, stated that the production and distribution of fertilizers should be within the government’s domain. “The price for fertilizers is already high; the government should not shift the responsibility to the private companies. Moreover, with the present sand mining going on, the government should form a body to protect rivers.”

Vimalnathan, secretary of Tamil Nadu Cauvery Delta Farmers Protection Association, said that he agreed with the need to establish Tamil Nadu’s very own Crop Insurance Scheme, distanced from the Center. KP Perumal, state secretary, of Tamil Nadu Vivasayigal Sangam, affirmed the same, highlighting how the existing companies provided measly sums to farmers against crop damage.

“For instance, the Tamil Nadu government paid the insurance companies Rs. 1,338.89 crores as a premium on behalf of the farmers for the years 2021–2022. Yet, these firms only paid farmers Rs. 481 crores in insurance claims.” He stated. Perumal also added that the damages caused by wild animals should be eligible for compensation.

For instance, the Tamil Nadu government paid the insurance companies Rs. 1,338.89 crores as a premium on behalf of the farmers for the years 2021–2022. Yet, these firms only paid farmers Rs. 481 crores in insurance claims, said Vimalanathan.

Other demands include pension schemes for farmers above the age of 60, an increase in the millet cultivation area from 2%-15%, and educating farmers about value-added products.

Improvement In TN’s Agri Exports

Farmers and exporters from Madurai and Ramanathapuram have demands for the establishment of a separate platform for chilli export and the establishment of primary processing centres for millet.

V Ramar, an organic farmer from Koraipallam in Ramanathapuram, “Chilli crops from Ramanathapuram have major demands in the domestic and international market. We produce 1000 tonnes and more than 300-350 tonnes are exported. Our Samba chilli is being exported largely and the Mundu Chilli from Ramanathapuram has been given the GI tag abroad. I myself will be exporting 50 tonnes of mundu to Germany.”

Samba chilli retails at 21k-22 k per quintal and Mundu chilli at 17k- 18k at present.

M S K Bakkianathan, president of Tamil Nadu Vaigai Irrigation Farmers Association, said that to prevent post-harvest loss of chillies, the government should work on procuring chilly from farmers in Ramanathapuram. He added that the construction of facilitation and export centres was very important.

 A farmer of mundu chillies from the Mudukulathur block named Ramanujam claimed that despite growing the mundu chilli on approximately 8 acres and paying close to Rs 40,000 per acre, he and his farming partners do not receive a profit-making price for the crop. In the open market, we hardly ever receive Rs. 1,500 to Rs. 1,800 per quintal. After the chilli has the GI tag, we hope the circumstance changes. We ask the TN government to set up a platform so that we can negotiate better costs.