Government implements Market Intervention Scheme (MIS) to ensure fair prices for farmers cultivating perishable horticultural crops including onion. The MIS is undertaken upon request from State or Union Territory governments when market prices fall by at least 10% compared to the average prices of the previous normal season, preventing farmers from having to sell their produce at a loss. The financial losses incurred are shared 50:50 basis between the central and state governments, with a 75:25 sharing ratio applicable for northeastern states. States can procure up to 25% of their production under the MIS. Additionally, states have the option to make differential payments directly to farmers' accounts instead of engaging in physical procurement.

Further, under MIS for TOP crops (Tomato, Onion, Potato), Government bears the transportation and storage expenses for the operations undertaken by Central Nodal Agencies like NAFED and NCCF from producing states to consuming states which will not only ensure remunerative prices to farmers but also soften the prices of TOP crops for consumers in the market.

The Government implements the Mission for Integrated Development of Horticulture (MIDH), a centrally Sponsored Scheme, for holistic growth of the horticulture sectors including onion cultivation. As part of MIDH, financial assistance is also available at 50% of the maximum cost, which is capped at Rs. 1.75 lakh per unit, for the construction of low-cost onion storage facilities with a capacity of 25 Metric Tonnes each.

This information was given by the Minister of State for Agriculture & Farmers’ Welfare, Shri Ram Nath Thakur in a written reply in Rajya Sabha today.

*****

SS/1306

(Release ID: 2081578) Visitor Counter : 868