AIKS Re-iterates Demand for Legally Guaranteed MSP@ C2+50% at CACP Meeting

The AIKS, while demanding statutory status for the CACP, also raised the issue of National Policy Framework on Agricultural Marketing (NPFAM) terming it as a move against federal rights of the State Governments, State supported APMC network across the country and to eliminate the MSP based procurement system across the country.

 Vijoo Krishnan , General Secretary  
Ashok Dhawale,  President

The All India Kisan Sabha (AIKS) while participating in a meeting of the Commission for Agricultural Costs and Prices (CACP) re-iterated its demand for MSP@C2+50% with legally guaranteed procurement for Kharif crops in the marketing season 2025-26. The meeting of the CACP was held on 18^th February 2025 at Dr Ambedkar International Centre, New Delhi, to consult and discuss with the representatives of farmers’ organizations before finalizing its recommendations for fixing the MSP of 14 Kharif crops including paddy, pulses, oilseeds, soybean and cotton for marketing season 2025-26.

The AIKS underlined the fact that there was a big difference between the MSP fixed based on the A2+FL+50% and the C2+50% formula which has now been a long-standing demand of the farmers of our country. The AIKS representatives mentioned that even going by the conservative  cost estimates of the CACP, the MSP for all the 14 Kharif crops in season 2024-25 was far below the C2+50. The difference was the actual loss suffered by the farmers. They specifically raised the issue of paddy and Soybean prices and the spontaneous agitations of the farmers. The paddy MSP based on A2+FL+50% for the year 2024-25 was Rs.2300/ Qtl. This was Rs.712/Qtl less than the C2+50% estimate of Rs.3012/Qtl.  As far as Soybean is concerned the MSP declared for the year 2024-25 was Rs. 4892/Qtl, Rs. 1555 less than the C2+50% estimate of Rs. 6437/Qtl. However, the market price in the season was Rs. 3000/ to Rs. 3500/Qtl only, forcing the farmers to undertake widespread protests in the States where Soybean is cultivated.

Demanding more public investment in agriculture, AIKS urged the CACP to recommend withdrawal of GST on agricultural inputs including seeds to cut down input costs. The dominance of corporate companies in seed and fertilizer markets and withdrawal of fertilizer subsidies in the last four consecutive budgets have resulted in huge hike in prices and increasing the cost of production.

The AIKS, while demanding statutory status for the CACP, also raised the issue of National Policy Framework on Agricultural Marketing (NPFAM) terming it as a move against federal rights of the State Governments, State supported APMC network across the country and to eliminate the MSP based procurement system across the country. However, the Chairman of CACP Prof. Vijay Paul Sharma opined that APMC system needs to be protected and further strengthened.

AIKS was represented by its All India Finance Secretary P. Krishnaprasad and CKC member Pushpendra Tyagi in the meeting.