In order to bring in more efficiency and transparency in the foodgrain procurement system, the Food Corporation of India (FCI) has decided to follow an online system equipped with detailed information about farmers getting minimum support price (MSP) for rice.
Starting with kharif paddy procurement season 2016, which would commence on October 1, information about land holdings, bank accounts and crop yield of all those who bring in their grain to mandis would be registered for ensuring that farmers bring in their produce on designated dates after getting SMS alerts and receive payment through online transfer to their banks accounts.
Sources told FE that only Madhya Pradesh, Chhattisgarh and Odisha have been following online procurement system for the past few years where farmers bring in their produce to mandis on designated dates, thus avoiding crowing which is often seen in various states including Punjab and Haryana. Often farmers have to wait for days prior to his grain being lifted by the agencies in many states.
Besides, through the online system, FCI would be able to track timely payment of MSP to number of farmers thus bringing in transparency in the grain procurement mechanism. “Under the present system of procurement, we do not have any data on number of farmers getting MSP, thus we are devising the online system,” a food ministry official said.
However, the official acknowledged that it would be tough to follow online system in two grain procuring states — Punjab and Haryana — where MSP is paid to arthias or commission agents who then pass on the amount to farmers. An official with Punjab food department said that the state government has no mechanism to stop this practice. “Only a few farmers in the state get direct payment of MSP,” the official said.
FCI has informed states such as Uttar Pradesh, Bihar, Andhra Pradesh, Telangana, West Bengal, Jharkhand, Kerala, Karntaka and Gujarat to adopt online system by capturing all the information about farmers well in advance. The purpose of this online procurement system is also to integrate the same with FCI’s depot online work currently being undertaken.
