Farmer support: Centre looking to spend Rs 200-250 bn on MSP procurement

Decision likely soon, states will be free to adopt one or more of the models suggested

The Central government is looking at spending a minimum of Rs 200-250 billion initially along with the states in ensuring that farmers get the benefit of Minimum Support Price (MSP) either through direct procurement of goods or a system of Price Deficiency Payment on the lines of Madhya Pradesh’s Bhawaantar Bhugtan Model.

Officials said though a detailed cabinet note is being prepared on the finer details of the share in which Centre and states bear the financial burden, but one thing is increasingly looking eminent is that government won’t impose any one of the procurement models, but instead leave it to