MBA Journals Peer-reviewed management research from Consortium e-Learning Network

NOLEGEIN Journal of Organizational Behavior Management

Effect of Minimum Support Price on Cropping Patterns and Farmer Satisfaction: A Study in Uttar Andra Region of Andhra Pradesh State

  1. Tarakeswara Rao. Sivvala

Abstract

The government's Minimum Support Price policy is an important instrument for establishing the floor price of the primary agricultural products and protecting farmers against middlemen and market conditions that are volatile. There are no obvious signs that the government's intervention the launch of MSP to support farmers and agriculture is being done sufficiently. It has also been observed that the Government intervention has failed to achieve the stability objective so far as price is concerned. Due to the lack of infrastructure and the existence of middlemen, farmers acknowledged that they were marketing their produce at rates much below the MSP or reasonable rates at Mandi. In this research an attempt is made the impact of MSP on cropping patters and the level of farmer’s satisfaction in the implementation of MSP. A major factor behind this inefficiency is the lack of infrastructure support for agricultural marketing. The difficulties farmers have are made worse by the widespread presence of middlemen, who frequently force unfavourable trading terms upon them. Because of this, farmers become disillusioned with the supposed advantages of MSP, and they still have to deal with unstable finances and reduced profitability. Given these limitations, further research is necessary to determine how MSP affects planting patterns and how satisfied farmers are with its application
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