Price Support Scheme:
The Union Agriculture Minister recently approved a move to procure moong and urad in Madhya Pradesh and urad in Uttar Pradesh under the Price Support Scheme (PSS).
- Price Support Scheme (PSS) is implemented by the Government of India under India’s umbrella scheme “PM-AASHA” (Pradhan Mantri Annadata Aay Sanrakshan Abhiyan), launched in 2018.
- Implemented by The Department of Agriculture & Cooperation implements this scheme for procurement of oilseeds, pulses, and cotton, through the National Agricultural Cooperative Marketing Federation of India (NAFED), which is the Central nodal agency, at the MSP (minimum support price) declared by the government.
- In addition to the NAFED, the Food Corporation of India (FCI) will take up PSS operations in states/districts.
- When the price of commodities falls below the MSP, State and central notified procurement nodal agencies purchase commodities directly from the farmers at MSP under FAQ (Fair Average Quality).
- By this way prices of the main commodities are procured and protect the farmers against the economical loss in farming.
- Procurement under PSS is continued till prices stabilize at or above the MSP.
- The procurement expenditure and losses due to procurement will be borne by the Central Government as per norms.
- Pradhan Mantri Annadata Aay SanraksHan Abhiyan (PM-AASHA) is an umbrella scheme aimed at ensuring remunerative prices to the farmers for their produce.
- PM AASHA has three components, and states can choose whichever one they wish to implement. The three components are
- Price Support Scheme (PSS)
- Price Deficiency Payment Scheme (PDPS)
- Pilot of Private Procurement and Stockist Schemes (PPPS)
