Chief Minister’s Onion Incentive Scheme in Madhya Pradesh for Farmers

Madhya Pradesh govt. launches MP Chief Minister's Onion Incentive Scheme 2019 to provide fair prices to farmers for onion (@ Rs. 800 / quintal), traders who purchase crops at higher prices from MP farmers and sell crops outside the state would get 75% assistance and 100% compensation
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Madhya Pradesh govt. has approved the Chief Minister’s Onion Incentive Scheme on 9 March 2019 for farmers. Under this MP CM Onion Incentive Scheme, the state govt. will ensure fair prices to farmers for their onions produce. MP govt. will encourage cooperative marketing committees, agricultural producer organizations, public sectors, private institutions and businessmen not to purchase onions from farmers at price less than Rs. 800 per quintal.

It is observed that on the arrival of onion in Madhya Pradesh, the prices falls in Mandis while on the other hand farmers gets good prices of onion in big cities like Delhi, Kanpur, Lucknow, Kolkata and Ranchi. So to provide adequate prices to farmers for onion produce, the state govt. has launched MP CM’s Onion Incentive Scheme.

Henceforth, all the traders who buys onion for more than Rs. 800 / quintal and sell it in Mandis outside the state would be given grant upto 75% of expenditure on transport and storage.

MP Chief Minister’s Onion Incentive Scheme 2019

The state govt. of Madhya Pradesh has announced to provide fair rates to farmers for onion produce under MP Chief Minister’s Onion Incentive Scheme 2019. Now, all the buyers (traders) will not be able to purchase onions at less than Rs. 800 per quintal. Moreover, traders who buy farmers for price higher than Rs. 800 per quintal and sell onions in Mandis outside the state will get 75% grant of expenditure on transport and storage.

In addition to this, in case the state co-operative marketing committees or agricultural producers organization sell the onion purchased from farmers outside the MP state, then such organizations would get cent percent compensation of cost of transport and storage.

Despite all these efforts, in case all prices fall below Rs. 800 per quintal in the market in May and June months, then the difference amount b/w model selling price of fixed mandis and support price of Rs. 800 / quintal would be directly credited to the bank accounts of farmers. To avail this difference amount, farmers must be registered and must have sell onions during this period alone.

CM Kamal Nath urges all the farmers to not to bring their entire onion for sale in market. This is because as the farmers brings their entire produce in the market, then it causes unnecessary pressure on onion prices (price fall). So, farmers must only sell onions of the amount which they require at the time of arrival of crop. Accordingly, farmers can simply store the remaining produce of onions. This move will not have any impact on the prices of onions in the Mandis and the farmers will get fair prices of their crop.

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