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ASSESSING MINIMUM SUPPORT PRICE FOR NON-WOOD FOREST PRODUCTS (NWFPS): A PRIORITY BASED POLICY INTERVENTION IN INDIA

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Title ASSESSING MINIMUM SUPPORT PRICE FOR NON-WOOD FOREST PRODUCTS (NWFPS): A PRIORITY BASED POLICY INTERVENTION IN INDIA
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Creator RK Yogi, AK Singh, Nirmal Kumar & KK Sharma
 
Subject Minimum Support Price, Cost of cultivation, Farmer, Fixed cost, Lac, Market, Tribal
 
Description The study was conducted in consultation with marketing federations
from Jharkhand, Chhattisgarh, Madhya Pradesh and Gujarat. The
analysis is based on surveys of traders and market officials and
farmers. Several rounds of focussed group discussions were held with
forest and market officials, farmers and traders to obtain qualitative
information on NWFP marketing. Secondary data on market arrivals,
prices and procurement was obtained from the federation records.
Minimum support price was first introduced in 2013-14 across PESA
states including Jharkhand, Chhattisgarh, Madhya Pradesh and
Gujarat. Jharkhand, Chhattisgarh, Madhya Pradesh and Gujarat
markets accounts for more than 85% of total lac arrivals in the
country. Hence, lac was selected as a specific commodity for this
study. Following a pilot survey in the selected markets and villages,
surveys of farmers and traders was conducted annually during 2014-
18. Experts from the processing industry were also interviewed with
great care about the quality parameters affecting the market price.
Determination of Minimum Support Price (MSP) of lac: In
formulating the recommendations in respect of the level of minimum
support prices and other non-price measures, the computation takes
into account, apart from a comprehensive view of the entire structure
of the economy of a lac sector
This study is aimed to estimate the cost of cultivation/collection of Non-Wood Forest Products (NWFPs) and assessing Minimum Support
Price (MSP) for stabilizing the farm price. NWFPs are produced or collected by the forest dwellers from remote forest or agro forestry
areas. Local markets of NWFPs in Jharkhand, Chhattisgarh, Odisha, Madhya Pradesh, Andhra Pradesh and NEH region are
underdeveloped and imperfect, and have a poor horizontal as well as weak vertical integration. Value chains for these commodities are long
and dominated by a number of intermediaries, leading to a considerable price spread. The total outlay for the MSP scheme was Rs.967
Crore for the plan period during 2013-14 to 2016-17. A total of, 12 Minor forest product (MFP) were covered under the mandate given to
the TRIFED for advising the government in respect of the price policy. The exercise is required to convey its recommendations to the
Government well before the sowing season of the crop. The study was conducted in consultation with marketing federations from
Jharkhand, Chhattisgarh, Madhya Pradesh and Gujarat. The analysis is based on surveys of traders and market officials and farmers.
Several rounds of focussed group discussions were held with forest and market officials, farmers and traders to obtain qualitative
information on NWFP marketing. Secondary data on market arrivals, prices and procurement was obtained from the federations. MSP for
NWFPs was first introduced in 2013-14 across PESA states. Jharkhand, Chhattisgarh, Madhya Pradesh and Gujarat markets accounts for
more than 85% of total lac arrivals in the country. At current wage rates, the estimated unit cost of lac cultivation/kg ranged from Rs.240/kg
(rangeeni strain) to Rs. 340/kg (kusmi strain). The findings of this study have clearly brought out that procurement system needs
considerable back up to infuse implementation with transparency in local markets, and to increase the farmers’ share in consumer rupees.
This is a crucial feedback for policymakers to strengthen the government’s initiative that aims at creating a national procurement system for
NWFPs.
ICAR
 
Date 2020-04-28T04:59:54Z
2020-04-28T04:59:54Z
2018-08-01
 
Type Research Paper
 
Identifier Yogi RK, Singh AK, Kumar Nirmal & Sharma KK 2018.Assessing minimum support price for Non-Wood Forest Products (NWFPs): A priority based policy intervention in India.Multi Logic in Science, 8 (SPECIAL(C)):261-267.
ISSN 2277-7601
http://krishi.icar.gov.in/jspui/handle/123456789/35170
 
Language English
 
Relation 8;S(C)
 
Publisher Department of Botany Yashwantrao Chavan Arts & Science College, Mangrulpir. Dist.Washim, Maharashtra, India 444403