MSP support for maize in J&K

D P Khajuria, C M Sharma
Maize crop is emerging as a major commercial crop in the country. It has a very high potential in the industrial production of starch, bio-ethanol, poultry and cattle feed. Different varieties are available for the production of baby corn, pop corn, sweet corn, etc. The bread made from maize flour (makki ka tohda) continues to be consumed and relished by a large section of the population, particularly in the hills, as an ingredient of their staple diet and by the people in the plains as a novelty food item.
The Union Home and Cooperation Minister, Amit Shah had laid the foundation stone of Krishak Bharti Cooperative Limited, (KRIBHCO), Hazira’s Bio-ethanol project, just a few months back on 14th September, 2022, which has marked a big leap in the direction of combating global warming challenges. Combating global warming forms a significant component of the Prime Minister Narendra Modi’s multidimensional campaign to strengthen the cooperative sector, improve environment, double the farmers’ income and increase India’s foreign exchange reserves also.
The bio-ethanol plant at Hazira has a daily capacity of 2.5 lakh litres to produce 8.25 crore litres of bio-fuel on commissioning by the end of 2024. The Hazira plant is one of the three greenfield grain-based ethanol manufacturing plants to be established in Gujarat, Andhra Pradesh and Telangana by the end of 2025 at an estimated cost of Rs. 1,000 crore.
The Hazira plant costs about Rs. 350 crores and is likely to provide a good market for 2.5 lakh metric tonnes of maize or alternative produce. In about nine districts of Gujarat, maize is reported to be the main crop and also can be grown in ten other districts of the State.
Many more Bio-ethanol plants are being set up across the country and the production of ethanol is going to change the economy of the petroleum sector of the country. It will save India about Rs. 1,00,000 crore in foreign exchange reserves. Bio-ethanol projects will also provide raw material for high protein animal feed, fisheries and poultry, thereby benefiting these sectors immensely.
In the UT of Jammu and Kashmir, maize occupies the largest area amongst all field crops with 2.89 lakh hectares and production level of 5.09 lakh tones of grains. It is followed by rice and wheat with cultivated area of 2.68 lakh hectares and 2.44 lakh hectares respectively and production level of 5.82 lakh tones and 4.84 lakh tones respectively (2020-21, Digest of Statistics, Financial Commissioner, Revenue, J&K).
Jammu region has more than 2.20 lakh hectares area under the maize crop with just around 3.6 percent area irrigated. A significantly large proportion of the crop is cultivated under drought-prone conditions, particularly in the Kishtwar, Doda, Ramban and parts of Reasi, Udhampur and Rajouri districts. Despite of little irrigation facilities for the crop, agro-climatic conditions in major parts of Poonch and Rajouri districts are favourable for its cultivation during kharif season and many farmers have obtained per hectare yield of above 60 qtls. Over two lakh quintal of marketable surplus of kharif season maize is produced in these districts and the rainfed areas of Jammu, Samba and Kathua districts also contribute significantly to maize production.
Unfortunately, instead of becoming morale and income booster, the higher productivity and production of maize have often resulted into gluts and the consequent decline in its prices to non-remunerative levels in the market. The Minimum Support Price (MSP) announced by the Government of India from season to season, has never been implemented for maize crop in the erstwhile State and now the UT of J&K.
The MSP announced for maize for kharief marketing season 2022-23 was Rs. 1962 per quintal, but the J&K maize producers reportedly sold the grains to private traders at around Rs. 1500 to Rs. 1700 per quintal last marketing season.
The common refrain of the main procurement agency, the Food Corporation of India (FCI), from intervening in the matter has generally been that maize grains don’t find place in the public distribution net-work of the State/UT Consumer Affairs and Public Distribution Department (CAPD).
Now, as the scope for marketing of the surplus maize produce to the processing sector grows, the Government must seriously consider earliest intervention to procure the surplus and quality grains directly from the farmers on MSP, either through the FCI or through the UT’s own J&K AIDC (Agro-Industrial Development Corporation). Procurement on MSP can also be facilitated through the interested cooperatives and private sector companies with active motivation and mobilization by the Directorates of Agriculture and Farmers Welfare, J&K and the GoI. Procurement of rice (non-Basmati) and wheat grains on MSP is already being supported by the government and bringing cheers to the producers.
This kind of much needed MSP support to maize farmers will secure them financially. Their incomes will be increased substantially. With other schemes like PMFBY (Crop Insurance) and PM-Kisan in place, MSP support will motivate the farmers further to avail institutional credit also as per need. Farmers will not hesitate in making desired investments for adoption of recommended improved seeds, plant protection measures, farm machinery and fertilizers – particularly the phosphate and potash fertilizers, bio-fertilizers, micronutrients and organic manures. Soil Health Cards will gain greater relevancy, micro-irrigation under PMKSY, etc. will gain currency and maize farmers will be become more inclined to replace cultivation of erosion promoting crops like maize on steep slopes with fruit and agro-forestry trees and grasses.
With MSP on maize, the sustained efforts of the Government to uplift the farmers who comprise the majority of the UT’s population, particularly the small and marginal ones having scattered holdings in difficult remote hills with minimum to no irrigation facilities, will get the clinching add-on support on the path to prosperity. Establishing maize collection-cum-procurement centres and promoting appropriate post harvest management/ processing units in specifically identified clusters of Poonch, Rajouri, Kathua and other potential districts will earn immense gratitude of the so far little privileged maize producers and prospective maize entrepreneurs, residing mainly in the remote and rainfed hilly areas of the UT.
The visionary stewardship of J&K Lt. Governor, Manoj Sinha with the support of the administrative, technical and executive machinery of the Chief Secretary, Shri Arun Kumar Mehta, must positively consider launch of the maize procurement programme on MSP during the Kharif marketing season 2023-24 itself. Even a smaller beginning on pilot basis, particularly in Poonch and Rajouri districts, will bring about a phenomenal change in agriculture.
(The authors are retired Director of Agriculture and Rural Development and Dy. Director of Agriculture, J&K Government, respectively)