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Tuesday, November 24, 1998

Groundnut price just right: minister

EXPRESS NEWS SERVICE  
GANDHINAGAR, Nov 23: As groundnut farmers of Saurashtra started their week-long boycott of marketing yards to press for lifting of curbs on export of groundnut oil to other states, Gujarat's Agriculture Minister Nitinbhai Patel said that although the price the farmers were getting couldn't be called handsome, it was ``just right''.

Nitin Patel was of the opinion that only a price of about Rs 350 per bag of 20 kg could be called ``good'' after taking into account all factors. Right now, the farmers were getting only about Rs 300. Therefore, if the prices fell, the government would have to think of lifting the curbs to protect the farmers' interests.

Otherwise, the farmers would shift to other crops which, in turn, would lead to a fall in production of groundnut and ``its political consequences'', Nitin Patel said. He also said that the cabinet sub-committee headed by Industries Minister Suresh Mehta, which had been constituted to examine the matter, would meet here on Tuesday.

Nitin Patel's views run counter to the stand of Civil Supplies Minister Jaspal Singh that the farmers were getting ``very good prices''. Singh has often argued that while the support price of groundnut was Rs 1,040 per quintal, the farmers were getting about Rs 1,500. He has also stated that there was no restriction of any kind on the farmers. Even while disagreeing with Singh's view, Nitin Patel described the strike, organised by farmers' leader Shamji Khunt, as ``politically motivated''. The agriculture minister admitted that the market yards did not function, but drew comfort from the fact the oil mills did not suspend operations, in spite of the farmers' appeal.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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