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Centre rules out MSP law, invites farmers to talks

Centre rules out MSP law, invites farmers to talks

  • The Centre yet again made it clear that announcing a guaranteed minimum support price (MSP), the key demand of the farmers, will not be possible.

Key Highlights

  • As the protests by farmers belonging to the Samyukt Kisan Morcha.
    • Non-Political (SKM-NP), a splinter group of the Samyukt Kisan Morcha (SKM), and the Kisan Mazdoor Morcha (KMM)
  • Escalated into a full-blown conflict with the security forces at various points on the Haryana-Punjab border.
  • The government, however, offered a third round of talks with the leaders of the groups.
  • Heavy police deployment was also witnessed on Delhi’s borders with Uttar Pradesh.

The MSP

  • It is a guaranteed price for their produce from the Government.
  • MSP is a form of market intervention by the Government of India to insure agricultural producers against any sharp fall in farm prices.
  • MSP in India is a price floor set by the government to ensure that farmers receive a minimum price for their agricultural produce, thereby safeguarding their income and encouraging agricultural production
  • The government announces MSPs for 22 mandated crops and Fair and Remunerative Prices (FRP) for sugarcane.
  • The mandated crops are 14 crops of the kharif season, 6 rabi crops and two other commercial crops

Prelims takeaway

  • Fair and Remunerative Prices
  • MSPs

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