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Hike in fertiliser prices worsens farmers' plight

Last Updated : 07 May 2012, 19:06 IST

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Input cost of agriculture has gone up considerably due to steep increase in price of fertilisers, in the past one year, said Agriculture Minister Umesh Katti on Monday.

Speaking to media, the minister said price of DAP (Diammonium Phosphate), which is widely used by farmers, has shot up to Rs 19,014 per tonne in 2012 from Rs 12,300 per tonne in 2011.

Similarly, price of MoP (Muriate of Potash) has increased from Rs 5,362 per tonne in 2011 to Rs 11,760 in 2012. Blaming the Union government’s policies for rise in price of fertilisers, he said the Centre’s gradual withdrawal of subsidy on fertilisers is the culprit.

Admitting that the State government was not in a situation to rescue farmers in this regard, Umesh Katti said the State never gave subsidy on fertilisers to farmers.

Noting that officials have been directed to ensure fertilisers are sold at MRP rate, he warned traders that licences would be cancelled if they are caught selling fertilisers at exorbitant price.

MSP for crops

The minister said the government has fixed minimum support prices for various crops including paddy, tur and onion during 2011-12 fiscal.

Depending on the quality, the government had procured onions at three different rates of Rs 750, Rs 550 and Rs 350 a quintal.

As much as 4.80 lakh quintal of onions was procured for Rs 30 crore. However, due to crash in prices in the open market, the government was forced to sell the stock at much lower price, the minister said.

He said the government was planning to modify guidelines to prevent misuse of funds under the Suvarna Bhoomi Yojane.

Under the scheme, which aims to provide guidance, fina­ncial and technical assist­a­nce to small and marginal far­mers, Rs 10,000 will be provided in two installments, he said.

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Published 07 May 2012, 19:06 IST

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