Kerala has become the first state to introduce the Basic Price Scheme 2021 for vegetables and other listed crops. state government. Has fixed basic prices for variety of vegetables and some other locally grown products. It is a measure to ensure price stability and a assured income for small farmers. The original price of 16 agricultural commodities in Kerala became effective from 1 November 2020, as decided in the state cabinet meeting.
Kerala Basic Price Plan 2021
In Kerala Basic Price Scheme, the prices will be decided by specially appointed committees. This price will be determined on the basis of production cost and productivity of mango varieties. These include bananas, tapioca, cucumber, snake gourd, bitter gourd, ash gourd, tomatoes, okra, cabbage, carrots, potatoes, beans, beets, garlic and pineapple.
Original cost vs. production cost
The basic price scheme is aimed at assuring the farmers a fair basic price, whenever the market price of agricultural commodities falls below it. The basic price of goods is at least 20 percent more than the cost produced by the farmers. Government of Kerala. It is expected to protect farmers from wide fluctuations in the market price and help promote vegetable production in the state. Kerala is currently dependent on other states for the bulk of its food and vegetable needs.
Implementation of Basic Price Scheme in Kerala
The basic price scheme in Kerala will be implemented by the State Agriculture Department in collaboration with local bodies and the State Cooperation Department. All the listed crops will be procured by the wholesale village markets operated by Primary Agricultural Cooperative Societies and government agencies such as the Vegetable and Fruit Promotion Council of Kerala (VFPCK) and HORTICORP. One such market is to be opened in every panchayat in the state of Kerala.
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Purchase of listed crops in the first phase of the basic price scheme
In Phase 1, Primary Agricultural Cooperative Societies will procure listed crops directly from farmers through 250 such wholesale markets. Each farmer will be eligible for the basic benefit of yield at the rate of only 15 acres per season. Whenever the market price goes below the original price, the local bodies provide an inter-fund to the primary cooperatives engaged in the procurement. The local bodies will be set up under the chairmanship of the chairman of the concerned local body and the chairman of the primary cooperative society to take decisions in the matter.
Agricultural and Information Management System (AIMS)
All farmers have to enter details about their crops on the online portal of the Department of Agriculture. The Agricultural and Information Management System (AIMS) will also be used for the following purposes: –
- Registration of farmers
- Identifying and monitoring field and production
- Certifying local produce
Registration is also possible through the AIMS mobile app. General operating guidelines for procurement agencies are to be announced by the Department of Agriculture soon.
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Need for Basic Price Scheme in Kerala
Whenever the market price goes below the listed base price of each crop, the price difference between the two will be deposited directly by the Agriculture Department in the bank accounts of the farmers. This has to be done on the basis of the report of the procurement agency. The purchased crops will then be marketed under the name “Jeevan Kerala Farm Fresh Fruits and Vegetables”. A state level committee will be formed to evaluate the implementation of the Basic Price Scheme in Kerala.
Government of Kerala. Will revise the basic price of each crop in a time bound manner and will bring more crops under its purview. The final decision on any modification of the original price will be taken by the government on the basis of the recommendation of the state-level committee.