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Maharashtra: To lessen glut woes, onion growers demanding price compensation scheme

The scheme entails paying a price difference to the farmers so that they can be pulled out from the crisis and get fair prices for their produce.

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Following the Prime Minister's Office (PMO) seeking a reply on the falling Onion prices in the state, now onion growers in the state are demanding the implementation of 'Bhavantar' scheme on the lines of Madhya Pradesh. The scheme entails paying a price difference to the farmers so that they can be pulled out from the crisis and get fair prices for their produce.

The Maharashtra government had earlier on Wednesday announced transport subsidy varying from Rs 30,000 to Rs 75,000 depending on the distance of transport to boost the ever-plummeting onion prices in the state and reach the produce in its demand centres elsewhere in the country.

"In Maharashtra, three lakh tonnes of old onion has been stocked. There are very few takers for this old onion in the market so it has been sold at Rs 1 to 50 paise per kg. Farmers are unable to recover their expenses as well," said Nanasaheb Patil, chairman at Lasalgaon's agriculture produces market committee (APMC). Lasalgaon is Asia's largest onion market that meets more than 50% demand of India.

Patil has advised that the Maharashtra government should emulate the MP Bhavantar scheme which pays price difference to farmers if they get a bad price for their produce. He added that under this scheme, the government should offer the subsidy of Rs 1,000 on per quintal onion to farmers. Patil has expressed strong reservations about the government offering transport subsidy as it benefits the traders more than the growers.

"The farmer has no capacity and mechanism to sell the onion in different parts of the country where he can avail the government transport's subsidy. Therefore, the government should deposit this difference in price amount in farmers bank account directly," demanded Patil.

Another farmer leader said that if the BJP government can implement the Bhavantar scheme in Madhya Pradesh, then why not in Maharashtra?

"Two months back only, I had informed the prime minister and consumer affairs minister about the issue of onion. If they had paid attention to my letter, then today we would not have to face this onion issue," said Raju Shetti, Member of Parliament and leader of Swabhimani Shetkari Sangathan.

However, sources in the government said that there are a lot of loopholes in the Bhavantar scheme. "Even Madhya Pradesh government is dragging its feet while implementing this scheme. More than farmers, this scheme was exploited and beneficial to traders. We do not want to repeat the same history in Maharashtra," said a government official requesting anonymity.

A HELPING HAND

The Maharashtra government had on Wednesday announced transport subsidy varying from Rs 30,000 to Rs 75,000 depending on the distance of transport to boost the ever-plummeting onion prices in the state and reach the produce in its demand centres elsewhere in the country

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