Budget 2018

Centre to double Minor Forest Produce numbers for a guaranteed MSP

In a move that could directly benefit 5 crore tribals across India, the government would increase the number of MFPs from the current 24 to 50 in the next financial year.

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The scheme, which was launched in 2013-14 by Congress-led UPA government, involves fixing a minimum support price for each of 24 MFPs by the pricing cell of TRIFED.
NEW DELHI: The central government is all set to double the number minor forest produce (MFPs) for a guaranteed minimum support price.

In a move that could directly benefit 5 crore tribals across India, the government would increase the number of MFPs from the current 24 to 50 in the next financial year. Tribal Cooperative Marketing Development Federation of India (TRIFED) managing director Pravir Krishna toldET, “We are in the process of conducting state-level detailed studies to identify additional MFPs. We would add an additional 25 MFPs in consultation with states and expand the scope of the scheme, which directly benefits tribals in remote areas who largely depend on MFP gathering.”

The scheme, which was launched in 2013-14 by Congress-led UPA government, involves fixing a minimum support price for each of 24 MFPs by the pricing cell of TRIFED. In case the market price falls below this, state governments move in to procure MFPs in village haats and mandis. These are then stroed and sold when the market prices increase.


In case of any loss borne by the state governments, Centre pitches in giving 75% and states bearing 25% of the loss. The scheme has been introduced in nine Schedule V area states. Under the new plan, the scope is being extended and more states have been added.

Krishna said, “We are in talks with all states and 18 have already agreed to implement the scheme.”

The move is planned in a year when three BJP-ruled states with a large ST population are going for Assembly elections.
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Chhattisgarh has 34 of 90 Assembly seats reserved for ST, Rajasthan has 25 of 200 ST reserved seats and Madhya Pradesh 41 of 230 ST reserved segments. All three states are Schedule V area or tribal-doinated states where the scheme has been implemented.

Extending the scheme beyond 24 products to 50 would directly benefit the tribal population of the poll-bound states.

The tribals have traditionally voted for Congress. Though BJP has made in-roads in this Congress votebank through VHP and RSS, it has a lot of work to do in these remote areas.
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