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Price crash: Punjab to export potato to Russia and Middle East

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Jalandhar, Jan 20: Four months after farmers dumped potatoes on road in Mohali and other parts of the state, seeking remunerative price for the produce, the Punjab government has allowed the staple food’s export to Russia and the Middle East. The past few years have witnessed surplus production of potatoes in the state. This, however, has not been adequately transported to other states.

This glut in production and no buyers due to demonetisation over the past two seaons had led to a crash in prices. Against a production cost of around Rs 5per kg, potato is selling at Rs 2 per kg in the wholesale market.

The price crash is a cyclical occurence in the state, but demonetisation had aggaravated the crisis. Doaba has 93% of the state’s sown area of the crop at 80,000 hectares of 86,000. In a series of reports, HT had highlighted the plight of potato farmers who had been facing heavy losses.

“If the government fails to intervene to help potato growers, Doaba farmers will be the worst-hit,” Jalandhar Potato Growers Association (JPGA) general secretary Jaswinder Singh Sangha had recently said.

After the decision, he said, “We hope for export to Europe and the Americas to start soon as well.” The decision to export the crop was taken during a meeting of members of the Jalandhar Potato Growers Association (JPGA) with financial commissioner, development, Vishwajeet Khanna earlier this week.

Punjab Agro Industries Corporation (PAIC) will be the assisting agency. Farmers will hand over their produce to the agency, which will bear the transport cost in exporting the produce. The consignments will also be insured.

News Source: http://www.hindustantimes.com

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