Implementation of Minimum Support Price on Minor Forest Produces : Issues and Challenges

Abstract

Minimum Support Price play a key role in Indian agricultural price policy. The introduction and implementation of minimum support price is to provide food grains to buffer stock and distribute through the Public Distribution system. Minor forest produces are those produces which are gathered from the forest. Implementation of minimum support price on minor forest produces enhance the income level of forestry’s. More than 100 million forest dwellers depend on minor forest produces for their livelihood. It is essential to understand the on-ground issues and challenges in the implementation of minimum support prices on minor forest produces for effective execution of the scheme. This research work is purely descriptive in nature and secondary sources data are used for the study. Some of the major issues and challenges encountered in the implementation of minimum support price on minor forest products such as Haat Bazaar's dominance in the local area, lack of skills and inadequate infrastructure, lack of value addition, the basis for calculation of minimum support price and barter system. the study also focused on efforts made in developing a methodology for fixing minimum support prices for minor forest produces.