KCR urges PM to rollback increased fertilisers prices

Hyderabad: Chief Minister K Chandrashekhar Rao minced no words when he sought to bring to the notice of Prime Minister Narendra Modi the impact flawed Central policies had on the agriculture sector.

In a hard-hitting letter to the Prime Minister on Wednesday, Chandrashekhar Rao urged the former not to impose financial burden on the farmers by increasing the prices of fertilisers. He suggested that the additional cost, if any, should be absorbed by the Central government. He felt that certain decisions taken by the union government would adversely affect the farming community in the country, especially Telangana State.

Castigating the BJP government at the Centre for going back on its promises, Chandrashekhar Rao reminded Modi that in February 2016, the Central government announced that it will double the farmers’ income in six years – by 2022. But even after five years, no specific or structured programme has been initiated in this direction. “Contrary to your policy and to everyone’s dismay, input costs have only doubled in the last five years and the income of farming community has declined, causing distress,” he said.

Chandrashekhar Rao stated that by raising the fertiliser prices, increasing fuel prices and faulty fixation of MSP, the Central government was not only contributing to increase in the cost of cultivation for the farmers, but was also defaulting on the promise of doubling of farmers’ income. He said these policies coupled with threat of proposed reforms in the agriculture electricity distribution sector by fixing power consumption meters, are causing great deal of anxiety to the hard working farmers of the country.

The Chief Minister accused the Centre of turning a blind eye to the increasing prices of fertilisers in the last six years, while encouraging States to take up campaigns to reduce Urea and DAP consumption. The prices of two most consumed fertilisers 28.28.0 and MoP (Muriate of Potash) increased by more than 50 per cent and 100 per cent respectively in the last 90 days alone. “Instead of bearing the increasing import costs of raw materials and maintaining the prices of fertilisers at an affordable level, the Centre chose to pass on the burden to the farmers,” he said.

Similarly, Chandrashekhar Rao said the fuel consumption in agriculture sector also increased manifold due to promotion of farm mechanisation by the States. Indiscriminate imposition of Cess on petrol and diesel required for farm vehicles despite no increase in import price of crude oil, also added to the distress of farmers. Due to faulty policies of the union government with regard to pricing of petroleum products and fertilisers, the farmers are bearing the brunt, he added.

“These steps are causing great anxiety to the farmers. The seven-decade-old fertiliser subsidy regime under the purview of the union government is being modified against the interest of the farming community of India,” the Chief Minister said. He pointed out that though Telangana State Legislature passed unanimous resolution to integrate MGNREGA with agriculture activity so that labour cost, is partially borne by the governments along with farmers, there has been no response from union government.

Chandrashekhar Rao reminded that upon accepting the Prof MS Swaminathan headed National Commission on Farmers’ recommendations to fix MSP (Minimum Support Price) for farm produce at 50 per cent more than the weighted average cost of production, essential costs of farm rentals and cost of fixed capital assets, were deliberately excluded while calculating cost of crop to farmers. Hence, the claim that MSP is pegged at 150 per cent of the costs of crop is misleading.

“Apart from announcing MSP and procuring small quantities of crops, the union government has no reliable mechanism to ensure price guarantee to the farmers for their crops. Under the guise of maintaining global standards, farmers are denied MSP prices and compelled to sell at lower prices there by making agriculture non-remunerative,” he explained.

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