 |
|
Amit Shah, the Union Home Minister of India, has asserted that the Narendra Modi government is actively promoting exports to ensure fair and lucrative prices for farmers' produce. Shah highlighted the government's commitment to the welfare of farmers, stating that their interests are paramount in policy decisions. He specifically cited three key initiatives undertaken by the government to benefit farmers: the removal of the Minimum Export Price (MEP) on onions and Basmati rice, and the increase in import duty on crude palm, soya, and sunflower oils.
The removal of the MEP on onions and Basmati rice is expected to significantly boost exports of these commodities. By removing the minimum price requirement, Indian farmers are now able to sell their produce at competitive international market prices, potentially leading to higher earnings. The reduction in export duty on onions from 40% to 20% further incentivizes exports, aiming to increase the demand for Indian onions globally and consequently enhance the income of onion-producing farmers.
The government's decision to abolish the MEP on Basmati rice is anticipated to similarly benefit farmers involved in the production of this high-demand variety. Removing the minimum export price barrier allows for greater market flexibility, potentially resulting in increased exports and improved profits for Basmati rice farmers.
In addition to export-related measures, the government has implemented a strategy to protect the interests of Indian soybean farmers. By increasing the import duty on crude palm, soya, and sunflower oils, the government aims to reduce the influx of imported oils into the Indian market. This protectionist policy is intended to create a more favorable environment for domestic soybean production, leading to potentially higher prices for domestically produced soybeans and greater profitability for soybean farmers.
Shah's statement underscores the Modi government's focus on strengthening the agricultural sector, a crucial pillar of the Indian economy. The government's initiatives aimed at improving farmer income through export promotion and import controls highlight their commitment to the welfare of the agricultural community. The long-term impact of these policies on the livelihoods of farmers and the overall agricultural sector remains to be seen, but the government's intent to support farmers is evident.
Source: Modi Govt Boosted Exports to Ensure Fair Crop Prices: Amit Shah