For the last few days, wholesale markets in Maharashtra have been through a major upheaval with traders refusing to participate in auctions. This was to protest against the state Cabinet’s decision to penalise traders for below-MSP procurement with a year’s jail term as well as a fine of Rs 50,000.
Under a limited procurement system, government would procure excess farm produce and leave rest to be cleared at market price. For it to work, MSP must not be at a level to which market price will not rise.
The Maharashtra government has decided to penalise trade below the government-mandated Minimum Support Price (MSP) by introducing amendments in the Agricultural Produce Marketing (Development and Regulation) Act, 1963.
"A lot of people raise doubts about this. But we are firm in our decision. We want to excel in innovation and bring0-in record production of food grains," PM Modi said, talking about blue revolution, fish revolution, sweet revolution in the country.