Despite deficient rainfall this year, Punjab will be able to achieve its paddy production target this year. The catch is that for the farmers the input costs have been high, with much expenditure on diesel, to keep the tubewells running. In addition, the state also had to purchase power at higher per unit costs, for the benefit of the farm sector.
In this light, Punjab has demanded Rs 1,100 crore as drought relief for paddy and cotton, and an additional package of Rs 1,420 crore for Punjab State Electricity Board to compensate it for the diversion of 3,500 million units of power to the agriculture sector. Power was diverted for agricultural use from the industrial, commercial and domestic sectors, all of which pay for electricity consumption. The state government has also demanded that the minimum support price for paddy be immediately revised to Rs 1,400 per quintal for fine grade and Rs 1,350 for common grade rice. According to government statistics, there had been an alarming 70% shortfall in rain in May and June, and over 38% in July, severely affecting sowing of paddy.
Farmers spent heavily on diesel to run the generator sets. There was additional expenditure on lowering and re-boring of tubewells and installation of costly submersible pump sets. According to government figures, an additional 17 crore liters of diesel was used by the farmers to complete the sowing operations, which cost them more than Rs 604 crore. This works out to an expenditure of Rs 2,500 per acre.
A delegation of MPs and MLAs from the state, led by Chief Minister Parkash Singh Badal, met Union Agriculture Minister Sharad Pawar on August 26, highlighting how shortfall in rain has seriously affected the inflows into the Bhakra, Pong and the Ranjit Sagar Dams. The water level at these dams is more than 60 feet below normal. In a memorandum submitted to Pawar, the delegation stated that the low water level has had a direct impact on hydel power generation and canal irrigation in Punjab.
BS Sidhu, Director, Punjab Agriculture, says that this year, paddy has been sown in over 27.15 lakh hectares in Punjab compared to 27.35 lakh hectares in 2008-09. Sidhu is confident that the state will be able to achieve the production target. Sidhu further revealed that the state government will procure 140 lakh tonne paddy for the central pool during the current Kharif season, against 132.17 lakh tonnes procured last year. Paddy procurement by the government agencies begins from the last week of September, and arrivals only pick up during the first week of October.
SC Agarwal, Chief Secretary, Punjab says, ?We are not anticipating any shortfall in paddy production despite deficient rains. However, the cost of maintaining the crop has certainly gone up. We have demanded a relief package from the Centre, and we are hoping to get the drought bonus.? Agronomists too agree that despite scanty rains in the state, the production will not get affected, but farmers must be compensated for their high input costs. Commenting on the prevailing situation in the state, PS Rangi, consultant with Punjab State Farmers Commission says, ?I have been closely observing our agriculture scenario since 1973. Whenever the country has faced a drought-like situation, Punjab has always been able to fulfill its production target. The irrigation system in our state is well-regulated, due to which we are able to ensure a good yield each time. But the farmer has to rely heavily on diesel, which pushes up his investment.?
Rangi further pointed out that during dry weather, paddy production increases, as it happened in 2002-03 too. ?While national production of paddy took a hit that year, Punjab increased its production and acreage. This is because due to dryness, the crop looses and the threat of bacterial and pest attack decreases.?