Chaupals may be abolished in MP

The Madhya Pradesh government is likely to abolish the choupal system, which allows corporate houses to procure directly from farmers. But this will happen only if mandis offer similar facilities to the farmers.

The state government had earlier amended the Mandi Act to allow corporates like ITC, Reliance, Cargill and Hindustan Lever to buy directly from farmers.

MP Agro is the nodal agency for these firms. Choupals, apart from ensuring a market for the farmers, provide agri-business information and farm equipment.

"The choupal system has hit the income of mandis. With corporate houses directly interacting with farmers, 72,000 mandi workers are now jobless," said Radheshyam Maheswari, office-bearer at the Madhya Pradesh Anaj Vyapari Mahasangh.