Does a legally binding MSP benefit farmers, agriculture, and the economy?

The 'Delhi Chalo' protests center on farmers' demands for a legally binding Minimum Support Price (MSP) for 23 major crops, following the Swaminathan Committee's formula. MSP ensures a floor price, preventing farmers from selling below it. Challenges arise in MSP enforcement, requiring extensive government intervention and infrastructure. Critics argue MSP's economic implications, including fiscal strain and inflation risks. To address farmers' income concerns, enhancing productivity and market access is proposed. Legally enforceable MSP, covering costs with a modest profit margin, and schemes encouraging crop diversification may offer sustainable solutions, such as Haryana's 'Mera Pani Meri Virasat' providing incentives for non-paddy cultivation.

Contnue reading: https://www.siasat.com/does-a-legally-binding-msp-benefit-farmers-agriculture-and-the-economy-2982286/