Govt sleeps over subsidy decision
Farmers forced to shell out Rs 650 per 50 kg bag of Urea
Source: The Sangai Express
Imphal, July 10 2011:
Even though the State Cabinet has decided to sanction Rs two crores for providing subsidy at the rate of Rs 100 per bag to farmers on purchasing urea, farmers are getting no subsidy so far.
With the cultivation season reaching its prime stage, farmers are buying urea at Rs 600 to Rs 650 per bag though dealers have been providing urea at Rs 520 per bag.
This urea bag of 50 Kg capacity costs only Rs 276.10 at MRP.
But the farmers of Manipur have been purchasing urea at the much higher price of Rs 600 to Rs 650 per bag.
In view of the much higher price at which urea is available in Manipur, the Department of Agriculture has been working to give subsidy of Rs 100 per bag so as to ensure that farmers get urea at Rs 400 to Rs 420 per bag.
For this, department proposed to the Government to sanction Rs two crores.
The same proposal was given consent by the State Government on June 10 .
According to information received from Agriculture Department, farmers have been purchasing urea at much higher prices as they need it desperately because the kharif season is already in its prime stage.
Despite the Cabinet decision, the amount of Rs two crore sanctioned for granting subsidy to farmers have not been released yet.
Negotiations with dealers to provide urea at Rs 420 per bag against the current price of Rs 520 per bag remain inconclusive till date.
Nevertheless, arrangements are being made so that Pradhans, MLAs and Ministers can distribute urea at Rs 420 per bag after paying the dealers Rs 520 per bag.
It is also being looked into whether it would be possible if the additional amount of Rs 100 paid by Pradhans, MLAs and Ministers for each urea bag to dealers can be reimbursed after the sanctioned amount of Rs two crores is released.
Plant No 2 of the Brahmaputra Valley Fertilizer Co-operation, Namrup which has the highest capacity for manufacturing urea has become functional again.
Since plant no 2 became functional, around 10 to 12 truck loads of urea are being brought to Imphal every day since July 1, informed the source.