Give Legal Backing to MSP: CAPC | 06 Jul 2018

Commission for Agricultural Costs and Prices (CAPC) has recommended that the Centre bring out a legislation which would give the 'right to sell at MSP' some legal teeth by giving farmers the right to sell their produce at those prices.

• The CACP highlighted that the procurement mechanism is broken for most crops and for most farmers.
• Often farmers of remote areas do not have sufficient access to APMCs (Agricultural Produce Market Committees) and their potential market is local haats where their produce is sold below MSP.
• Strong procurement operations need to be expanded to neglected regions, particularly eastern and northeastern regions.
• Therefore, the CAPC wants the Centre to bring in a legislation conferring the “right to sell at MSP”, which will give legal backing to the exercise, ensure that crops are not purchased below fixed price and “instil confidence among farmers”.

Commission for Agricultural Costs and Prices

• It is a statutory panel under the Ministry of Agriculture which makes the recommendations for MSPs for 23 kharif and rabi crops.
• Its suggestions are not binding on the government.