Ministers, farmers hold discussions on MSP law

A top government team led by two Union ministers – Shivraj Singh Chouhan and Pralhad Joshi – along with Punjab officials held crucial talks with farm unions on Saturday in Chandigarh on their longstanding demand for guaranteed floor prices, with both parties deciding to take the parleys forward and meet next on March 19, farm leaders and officials said.

The government is expected to table a set of proposals for consideration by the farmers in the next round on their single-point demand to bring a law that will make it compulsory for traders and buyers of farm produce to pay federally fixed minimum support prices, or MSP, to cultivators for 23 notified crops. They are also likely to report the progress of the talks to the prime minister’s office before the next round, an official said.

MSPs are rates set by the Centre at 1.5 times the cost of cultivation to serve a price signal for markets, but they are largely notional for most crops, barring cereals.

Two years after farm unions ended their massive protest on Delhi’s borders, they are back on the streets demanding guaranteed prices for their crops. Farmers are an important voting bloc and resolving their demand for assured MSP is one of the biggest challenges for Prime Minister Narendra Modi’s government.

The farmers had finalised a 13-point agenda for the talks but whittled it down to the sole issue of MSP, said Sarwan Singh Pandher, the leader of Kisan Mazdoor Sangh, one of the key constituents of the Sanyukt Kisan Morcha (Non-Political) or SNM (NP). The farmers don’t want to get distracted on other issues now, Pandher said.

Agriculture minister Chouhan and his food-ministry counterpart, Joshi, engaged with the farm leaders for nearly three hours, where they made a presentation on key initiatives and programmes of the Modi government for agriculture and allied sector, assisted by department officials, marking the second meeting between the two sides in eight days.  

“The talks with both the unions were held in a very cordial environment. We placed all initiatives of the Modi government for farmers, which are a high priority for us. We listened to the concerns of Dallewal and Pandher. We will take this forward and meet again on March 19 in Chandigarh,” Chouhan told reporters after the meet.

Before the discussions, the Union ministers met Jagjit Singh Dalewal, an influential farm leader who is on a fast until death demanding a legal guarantee for MSPs. Chouhan inquired about Dallewal’s health, assuring him of working towards farmers’ welfare and urging him to end his hunger strike.

“But the farm leader refused to end his fast,” said Gurdeep Singh Chahal, a member of the Bharatiya Kisan Union (Dallewal), part of the united farmer front, said.

The talks with a 28-member farmers’ delegation began with a round of introduction of the participating farm leaders soon after the officials arrived at the Mahatma Gandhi Institute of Public Administration in the city around 6pm.

Chouhan sought to focus on programmes meant to increase farmers’ incomes under an umbrella initiative known as the Krishi Samvarshan Yojana, spelling out new initiatives on crop diversification, procurement of all pulses at MSP, infusion of subsidised technologies, such as drone operations, and development of superior crop varieties meant to give higher yields.

He also explained the “vision” of the Modi government for moderisation of the farm sector, which “is a vital part of Viksit Bharat goal”. “The Modi government gives the highest priority to farmers. Without an advanced agriculture sector, there can’t be a Viksit Bharat,” Chouhan told the delegation, according to Sarwan Singh Pandher, the leader of Kisan Mazdoor Sangh. Viksit Bharat is India’s campaign to achieve a developed country status by 2047.

Pandher said the farmers said they were not interested in discussing farm schemes, such as crop diversification. They then gave copies summarising data for crop prices from 68 mandis or markets, farmers’ losses and profits on a crop-by-crop basis and why guaranteed floor prices are needed.

“The ministers were very courteous. We have told them that we don’t want to discuss anything other than MSP. Other issues can be discussed later. We will send the Centre our case along with supporting documents within a week and they will apply their mind before the next meeting on March 19,” he added.

Nearly half of all Indian depends on a farm income and agriculture accounts for 17% of the country’s GDP, making it a critical sector for economic growth of Asia’s third-largest economy.

Farmer groups had called off their strike after the government scrapped three farm laws in 2021 and agreed to discuss their other demands, including guaranteed prices for produce and a withdrawal of criminal cases against the protesters. The farmers are now back, saying they want to know what progress the government had made on a committee formed to look into the issue of MSP.