Bengaluru: In the wake of a steep fall in onion prices, the state government has extended Rs 6.24 per kg as support price for onions in the market to prevent distress sale by farmers.
Speaking to reporters here on Friday, Law and Parliamentary Affairs Minister Mr T.B. Jayachandra said that the government will begin procurement of onions from November 2 through the Agriculture Produce Marketing Federation.
The state government was expecting support from the Centre to provide relief to onions farmers, but no assistance has been forthcoming so far.
There is a provision in Central guidelines to extend support price for produces grown in only one lakh acres. However, in Karnataka, onions are grown in three and a half lakh acres in 10 districts.
The production this time was over 23 lakh MT and the state government has released Rs 50 crore for procurement of onions till the price stabilizes, Mr Jayachandra said.
Meanwhile, the state government has decided to release compensation to the farmers in Cauvery basin. The farmers would get Rs 13,500 per acre and first, the compensation would be paid to the farmers who did not resume farming activity at all.
At the moment, there is no farming activity in over 88,000 acres. An assessment of the loss in the areas where farmers have taken up sowing, would be undertaken.
The state government had also submitted a memorandum to the Centre over drought relief too. Already, 110 taluks have been declared drought affected and another 30-35 taluks are likely to be declared drought-hit. From Nov 2, a Central team would be visiting the state to assess drought, he added.
