Rural Development Fund, RD fee, farm laws, paddy season, Chandigarh news, Punjab news, Indian express news

Amid row over farm legal guidelines, Centre tells Punjab it gained’t pay RDF in paddy season


Written by Kanchan Vasdev
| Chandigarh |

October 27, 2020 10:47:34 pm


Rural Development Fund, RD fee, farm laws, paddy season, Chandigarh news, Punjab news, Indian express newsThe Centre has additionally sought to scrutinise how the state authorities spends the RDF. (Representational)

Just a few days after President Ram Nath Kovind’s assent to Centre’s farm legal guidelines, the Rural Improvement Fund (RDF) seems to have change into a casualty with Centre not protecting a provision for the RDF within the Money Credit score Restrict prolonged for the present paddy procurement season. The Centre has additionally sought to scrutinise how the state authorities spends the RDF.

Within the Money Credit score Restrict prolonged to the state by Centre for paddy procurement, the RD price element will not be accounted for within the provisional price sheet for procurement of paddy. Because of this Punjab can not withdraw RDF from the CCL it has obtained.

If the state doesn’t get RDF on paddy, it might price the exchequer about Rs 1,100 crore in paddy season alone.

The farm legal guidelines don’t present for RDF and market price for the states. As per the brand new agri legal guidelines, the states can not cost any RDF and mandi price from the patrons.

Punjab makes about Rs 3,500 crore yearly on account of RDF and Mandi price, on the charge of three per cent every of MSP, each charged from the patrons (on this case the Centre, because the foodgrains go to Central pool).

Communication from Centre

In a letter (dated October 23) to Secretary, Meals and Civil Provides, Punjab, the Union Ministry of Shopper Affairs, Meals and Distribution has said that “matters related to deductions from MSP made by state and utilisation of RD fee for the purpose of development of procurement centres are under scrutiny.”

Within the provisional price sheet hooked up together with the letter, no financial provision is indicated in direction of the RDF. The column mentioning in regards to the RDF has been saved clean with a footnote that the RDF is now beneath scrutiny.

The provisional charges of customized milled rice procured and delivered to central pool in the course of the Kharif Advertising and marketing Season (KMS) 2020-21, embody MSP of uncooked rice and par boiled rice between Rs 1,868 to 1,888, market price between Rs 56.04 to Rs 56.64 at Three per cent of MSP, arhtiya prices between Rs 45.38 to Rs 45.88, apart from different prices. Each one quintal of packed rice would price the Centre between Rs 3,269.13 to Rs 3,241.95. The opposite prices embody mandi prices, dealing with prices, driage, milling prices, gunny luggage value.

That is dictatorship: Punjab minister

Punjab Meals Minister Bharat Bhushan Ashu instructed The Indian Categorical that they’ve obtained two separate communications from Centre. “They have asked us to provide them the details about how we spend the RDF. So, our RDF account is under scrutiny. And they have sent us a provisional cost sheet for paddy procurement according to which they will not be paying us any RDF. This is the height. Look at what all they are doing to Punjab. It is hitting back at us because our farmers are protesting.”

He added that the federal government was getting ready an in depth reply to the Centre’s communication.

“We will be telling them what all we do with RDF. What do they want? Punjab will give its precious resources for the entire country, grow crops, spend money on procurement centres and road network and not charge the Centre anything? This is dictatorship. We will not get cowed down,” he mentioned.

He added that the Centre was additionally working away from paying the fee to arhtiyas. “We pay them a commission of 2.5 per cent and they have now fixed a ceiling of Rs 46 per quintal. This is what they wanted to do with the farm laws. Where will the commission agents go? They had done this during wheat season also and we had taken it up with them. But again the provisional cost sheet says the same thing.”

Double blow

If the state doesn’t get RDF this time then it might be a double blow for the funds crunched state that has not been getting its GST compensation additionally. Putting off RDF and mandi price within the farm regulation is a significant controversial level with Punjab. The state authorities has been opposing it tooth and nail because the state has about 1800 mandis throughout the state and a community of lengthy roads to make it possible for every farmer doesn’t need to journey greater than 20 km to succeed in a mandi. The RDF and mandi price is spent on the upkeep of 70,000 km-rural hyperlink roads and different infrastructure apart from different initiatives.

The state earns about Rs 3,500 crores yearly within the type of market price and rural improvement fund (RDF) for offering its mandis for promoting wheat, paddy, Basmati and cotton crops. Within the Kharif and Rabi season 2019-20, the federal government earned Rs 3,642 crore.

Not first row over RDF

This isn’t the primary try by Centre to hunt particulars about RDF. Earlier, throughout former Chief Minister Parkash Singh Badal’s regime, former Union Finance Minister late Arun Jaitley had additionally requested the state to route the RDF via the consolidated fund in order that the Centre is aware of the place the state was spending the cash. It had blown into a significant controversy following which the Centre needed to relent.

Punjab is already up in arms in opposition to the Centre for not restoring the products practice visitors.

PPCC chief Sunil Jakhar on Tuesday tweeted: “First was refusal to release Punjab’s GST dues, now it’s stopping of trains to Punjab. Two phrases come to mind which are used in international standoffs but definitely not used within a nation’s federal structure — 1. Economic sanctions 2. Blockade. What next ?”

In one other tweet, he mentioned, “To teach Punjabis a lesson for opposing #FarmLaws , some wise guy in Delhi may next suggest to ban having “Makki ki roti and sarson ka saag” in India. Giant nation like India must be ruled with an equally giant coronary heart!”

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