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Centre agrees to procure chilli under MIS if price drops below ₹11,781 per quintal, says Naidu 

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Centre agrees to procure chilli under MIS if price drops below ₹11,781 per quintal, says Naidu 


A file image of Andhra Pradesh Chief Minister N. Chandrababu Naidu
| Photo Credit: @AndhraPradeshCM

Chief Minister N. Chandrababu Naidu on Saturday (February 22, 2025) reviewed the plight of chilli farmers against the backdrop of a sharp fall in its price in the open market and Union Minister Shivraj Singh Chouhan’s assurance to take steps that would salvage the situation.

In a high-level meeting he chaired at the Secretariat, Mr. Naidu stated that the Central Government had agreed to procure chilli under the Market Intervention Scheme (MIS) if the price fell below ₹11,781 per quintal.

The discussions were centered on the State government’s plea to procure up to 75% of the produce under the MIS and ways to increase the exports that were flat for many months now due to a spurt in production in countries like China, Malaysia and Sri Lanka.

Farmers informed the Chief Minister that the investment being made on chilli cultivation had been rising year-on-year, but their incomes did not increase, and pointed out that pest infestations like black thrips affected crop quality as well as the yield.

They said the cost of cultivation soared up to ₹3.50 lakh per acre and the labour costs were at an all-time high. The problem had become worse due to labour shortage, they said.

Exporters stated that Andhra Pradesh exported a large quantity to China, Colombo, Bangladesh, and Indonesia, but the exports had, of late, come down leading to a price drop.

They informed that only 250 out of 410 major exporters were active, and exports were not allowed from the Krishnapatnam port, which forced the export of the commodity through the Chennai port at high costs.

The government was considering establishment of mango and chilli boards to support farmers, Mr. Naidu assured.

The meeting was attended by Agriculture Minister K. Atchannaidu, Chief Secretary K. Vijayanand, Special Chief Secretary (Agriculture, Marketing & Cooperation) B. Rajasekhar, Director of Agriculture S. Dilli Rao and other senior officials.

In a message on X on February 21, Mr. Naidu stated that he had a detailed discussion with Mr. Chouhan on February 20 regarding the challenges faced by the chilli farmers, and urged him to take immediate steps to ensure that the MIS accounted for the cost of cultivation and provision of fair prices to farmers.



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