6th November, 2002
Ministry of Agriculture  


SHRI AJIT SINGH CALLS FOR REFORMS IN THE AGRICULTURE SECTOR

NATIONAL SEMINAR ON FIXATION OF MINIMUM SUPPORT PRICES BEGINS


Union Agriculture Minister Shri Ajit Singh has called for reforms in the agriculture sector in keeping with the changing times. Inaugurating the National Seminar on Methodological Issues in Fixation of Minimum Support Prices here today, he said that the State Governments should take an initiative in this direction. Shri Singh said that an extensive support system should be developed to protect farmers and fixing of minimum support prices should only be a part of this system. Referring to the changed agricultural scenario in the country, Agriculture Minister said that India is no longer a scarcity economy and has emerged as an agricultural power yet the farmers continue to live in pathetic conditions. Although it has been realized that agriculture is the backbone of our economy, still much remains to be done to improve the lot of farmers, he added. Lauding the role of cooperatives, Shri Ajit Singh said that farmer’s cooperative can play an important role in providing inputs and marketing.

Earlier in his keynote address distinguish agricultural economist Prof. Y.K. Alagh advocated the need for a new model on agriculture pricing. He said that the Commission for Agricultural Costs and Prices (CACP) should become a tariff commission and suggest the monitory and tax policy changes for the transition to a trading agriculture. Prof. Alagh also stressed the need for harmonizing various policies relating to pricing, costs, credit, marketing and technology.

Shri J.N.L. Srivastava, Secretary, Ministry of Agriculture in his address dispelled the notion that the Government does not agree with the recommendations of CACP. He said that normally these are accepted save in exceptional cases because of certain good reasons.

Chairman of CACP Dr. T. Haque in his welcome address outlined various issues to be discussed during the two-day seminar. He said the Indian agriculture and farmers are facing a number of challenges because of natural calamities like droughts and floods as also because of the falling prices of output and rising prices of inputs. He said the farmers’ need to be properly guided and supported by the technology and infrastructure to diversify.

The two-day Seminar has been organized by the Commission for Agricultural Costs and Prices (CACP) to discuss modalities of fixing the minimum support prices. A number of leading agricultural economists and experts, Members of Parliament, representatives of farmers’ organizations and senior officials of the Union and State Governments are taking part in the Seminar.