AIKS Demands White Paper From CACP, Seeks C2+50% Formulae for Fixing Rabi Prices

The All India Kisan Sabha (AIKS) has demanded a White Paper from the Commission of Agriculture Cost and Prices (CACP) to inform the farmers the difference in price under C2+50% formulae and A2+FL+50% formulae and request to do so at the earliest before fixing the Rabi Price for 2025-26. AIKS submitted a letter in this regard to Professor Vijay Paul Sharma, the Chairman of CACP on Thursday ( June 27)  during the CACP meeting with Farmers Associations for Rabi Price consultation for 2025-26 marketing season.

Specifically, the farmer organisation in a press release has demanded that the CACP speak specifically of the difference in MSP under C2+50% and A2+FL+50%. The BJP-led National Democratic Alliance had promised to implement the M S Swaminathan Commission recommendation of C2+50% way back in 2014. But even after 10 years, the CACP is fixing the MSP based on the A2+FL+50% formula which is way below C2+50%.

Last week, the Information and Broadcasting Minister had announced that the MSP approved for Kharif crops was 1.5 times more than the cost of production which is incorrect and all the Kisan organisations were forced to express their strong resentment and protest.

The AIKS has also demanded the White Paper should cover the fact that at present below 10% of the farmers benefit out of the MSP announced by the CACP since there is no guaranteed procurement system across the country to ensure purchase based on this rate.

It is the CACP that has to advise the NDA government to form a Price Stabilization Fund through collecting due shares from the monopoly trade and agribusiness corporates which makes huge profit out of processing and marketing of the agricultural products and also through allocation in the forthcoming Union Budget. The CACP has to consider the principle of fixing the prices ensuring minimum 30% of the gross value of the value-added products in the brand market made out of the agricultural commodities to share with the farmers. CACP has to advise no entry of Monopoly Capital and Multinational Corporations in agriculture including input industries of seed, fertilizer and pesticides, it said.

Besides, the AIKS has reminded the CACP that during the last 10 years under NDA rule, considering the inflation and price rise the cost of production increased five times and the living cost also went unbridled thus making the farming in huge loss, farm households are facing severe indebtedness thus forcing 31 farmers commit suicide daily during the same period.

Finally, the AIKS has demanded repeal of GST on inputs in agriculture, no privatisation of electricity, ensuring minimum support price to all crops with guaranteed procurement and minimum wage for dignified life to workers, promoting collectives and cooperatives of small farmers and agricultural workers to reduce cost of production and to enhance production and productivity. Comprehensive linkage of MNREGS with farming, Public Sector extending interest free credit and insurance cover to all individual farms are necessary to save agriculture and the save farmers.

P Krishnaprasad, Finance Secretary and Pushpendra Tyagi CKC member of AIKS attended the meeting and raised the demands in the letter.

The letter by AIKS to the chairman of CACP may be read here.