Agri ministry faces a drought of policy options

NEW DELHI: UPA mandarins face two mega-challenges in the coming days ��� check rising food prices and give relief to drought-stricken farmers. If the government fails to address farmers��� problems in the 278 drought-hit districts across 11 states, UPA���s carefully cultivated ���aam admi��� image will take a huge dent.

One of the UPA���s ambitious promises ��� food for all ��� is stuck in debate and the empowered ministerial panel has to take a call on defining targeted beneficiaries to re-target food subsidies.

Under the National Food Security Act, which will provide a statutory basis for a framework assuring food security for all, the government promised that every BPL family would be entitled, by law, to 25 kg of rice or wheat per month at Rs 3 per kg.

In its 100-day agenda, the government had promised that targeted identification cards would subsume and replace omnibus BPL list. However, the establishment is still debating on actual number of people living below poverty line.

Amid growing concern over drought, the government announced an increase from Rs 100 to Rs 950 a quintal in the minimum support price of paddy and a hike by Rs 300 a quintal for arhar dal, from Rs 2,000. The MSP for moong dal was raised by Rs 240, and for sesame by Rs 100 a quintal.

The move, many feel, came at the fag end of the kharif sowing season, aimed to encourage farmers to sell their produce to official procurement agencies for the central pool.

With 278 districts affected by drought, it is estimated that rice production will go down by 10 million tonnes this season and it may trigger a further hike in prices, which is going to be the biggest challenge.

Against the spectre of looming drought, PM Manmohan Singh has said the government would extend full support to farmers, including postponing loans. The agriculture minister has also appealed to MPs to use their MPLAD funds for irrigation.

HITS

Taking states on board to check price rise and for drought relief measures Agreeing to share 50% diesel subsidy with states to protect crops Hike in procurement prices of paddy and pulses

MISSES

Failure to check price rise Delay in drought relief measures Consensus eludes on beneficiaries to be covered in food for all law

CHALLENGES

To check spiralling prices of essential commodities To minimise impact of drought To get the Food Security Act passed