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Potato farmers resort to distress sale
Potato farmers are selling their produce to middlemen as the minimum support price (MSP), is not remunerative compared to that of last year. The farmer sustained severe loss because of the decline in the MSP since it was barely enough to recover the input costs.
Sangareddy: Potato farmers are selling their produce to middlemen as the minimum support price (MSP), is not remunerative compared to that of last year. The farmer sustained severe loss because of the decline in the MSP since it was barely enough to recover the input costs.
The farmers are not willing to take the crop to the market yard since it involves transport costs and payment of taxes. Further, though the MSP for the vegetable is somewhat encouraging in neighbouring Karnataka, the farmers do not seem to be interested in selling their produce in the neighbouring states.
Potatoes were raised in 15,000 acres in Zaheerabad, Sangareddy and Narayanakhed constituencies. Farmers procured the seeds from Delhi and Agra spending not less than Rs 1200 per bag of 50 kg potato seeds. Each farmer invested between Rs 35,000-40,000 in raising the crop.
The MSP for potatoes declined sharply this year. This is attributed to good yield of the crop due to favourable seasonal conditions, demonetisation of high-value currency notes, lack of storage facilities and decrease in demand because of bumper harvest.
Compared to last year, the area under the crop in the district has increased by at least 40 per cent. The reason is not far to seek. The farmers showed inclination to raise the crop since the MSP was good last year. The MSP for potatoes was fixed between Rs 500 and Rs 700 based on the grade compared to the last year’s MSP between Rs 1300 and Rs 1600.
Small and marginal farmers are not able to take the crop to Karnataka market where the MSP is far better than that of the MSP in Telangana. The MSP in Hyderabad market is not at all encouraging. The farmers are of the view that they would have sold the crop for a better price if there are cold storage facilities to store the crop and sell it when the prices are good.
By: Ahmed Pasha
