The National Cooperative Development Corporation (NCDC) sanctioned Rs 19,444 crore as the first payment to Chhattisgarh, Haryana and Telangana for the purchase of kharif paddy under the minimum support price operations (MSP), according to a statement from the ministry of Agriculture and Farmer Welfare.
The ministry said the funds had been sanctioned to help states and their marketing federations undertake timely rice supply operations through their cooperative organizations.
Chhattisgarh gets the highest amount at Rs 9,000 crore; Haryana was fined Rs 5,444 crore and Telangana Rs 5,500 crore.
This proactive move by NCDC during the coronavirus crisis will provide much needed financial support to farmers in these three states which account for nearly 75% of India’s paddy production, the statement said.
Sundeep Nayak, chief executive of NCDC, said the company was ready to help more states run MSP operations to give farmers a fair value in light of historic agriculture-related laws in response to the call. launched by Prime Minister Narendra Modi.