…But Uttar Pradesh learns from last year

Last year,in the Agra division of Uttar Pradesh — which alone produces more than 30 per cent of the country’s total potato yield — as many as 10 lakh bags (five lakh quintals roughly) of potatoes were destroyed. “The farmers refused to lift potatoes from cold storages due to a glut in the market last year. We had no choice but to dump them outside. Even at a conservative rate of Rs 250 per quintal,the potatoes destroyed were worth over Rs 12 crore.

“This year,however,the cold storages are lying unused with growers doing good business,” confirmed Uttar Pradesh Agriculture Production Commissioner (APC) Anis Ansari.

Learning a lesson from last year’s losses,the state Government this year introduced various schemes to provide relief to potato growers. In January this year,the purchase price was raised from Rs 250 per quintal to Rs 300 per quintal. While this involved an estimated expenditure of about Rs 31.5 crore,the state Government also decided to extend a subsidy of Rs 11 crore besides arranging the rest through banks. The benefit though is available on the purchase of a minimum one lakh tonne of potato at a price of Rs 300 per quintal.

The government also provides transport subsidy in which it either shelled out Rs 25 per quintal or bore 25 per cent of the transportation charges. Earlier this subsidy was available for a distance of 500 km and more. However,this subsidy is now applicable even on a distance of 300 km within the state. Under various marketing interventions,the state Government also set up potato purchase centres at over a dozen districts. Besides,it also allowed big buyers (who purchase more than 1,000 tonne) to make direct purchases from the farmers.

Although there is no big export market for potatoes,the government also announced subsidies on its export.