SHIMLA: The widespread resentment is brewing up among the apple farmers of Himachal Pradesh against the state government. Main reason: the cost of cartons, trays including fertilisers, fungicides and pesticides has been increased drastically over the years due to increase in GST on paper from 12 to 18 percent and other reasons.
This increase has cut deep into the profit margins of the farmers, causing a lot of heartburns among the farmers.
The farmers have come under the banner of Sayunkt Kisan Manch- a joint front of over 20 different organizations.
They represent all shades of farmers, cutting across the political lines demanding rollback of GST on packaging material and cartons and trays to 5 per cent and restore prices of fertilisers and pesticides to previous level.
More so, the Rs 5000 Crore Apple economy has been hit badly by the corona and its fallout and the surge in packaging and inputs prices over the last five years.
As the government remains indifferent so far, rubbing salt to their injuries is that the fruit traders are not turning up in the apple markets to buy the fruit as they are expected in good crop year.
They plead they suffered huge losses last year due to an unbridled import of cheap Iranian and Turkish apples last winter.
But the farmers say there is “ some conspiracy” by traders and fruit corporates, who are hobnobbing with each other to keep the market prices low this season to increase their profits.
The apple farmers unions resent that the double engine government has almost doubled the cost of production of apple box rather doubling the income of the farmers for the last four years.
The cost of production of an apple box at the farmer gate considering all sprays, fertilisers, labour and grading and packaging material has gone up to Rs 700 per box for the average farmers. Earlier it used to be 350 per box or so, they resented.
Farmers’ discontent is justified as over 90 per cent of the apple farmers constitute small and marginal farmers, who produce on an average 300- 500 cartons each in their small holdings.
Though the state government claims that they have taken up the matter of GST with the Centre, but the farmers have kept their finger crossed as all claims of the state government fall flat when it comes to handling of the apple season.
Their main grouse and demand- roll back of the GST on apple cartons and materials to keep it not more than 5 %- remained unaddressed so far.
The APMCs at Parala, Dhalli, Rohru, Kharapathar, Narkanda, Solan, Parwanoo, Bandrol in Kullu, Takoli in Mandi and other places have yet to gear up its apparatus.
APMCs have no mobile units to check “unfair trade practices and fleecing of farmers and illegal charging and delays in payments in the Mandis being adopted by the arhtiyas and traders”.
For the farmers, apple season comes as ray of hope to make their both ends meet sustaining their livelihoods every year.
Over 95 per cent farmers have small holdings. These are divided further among the members of the joint family over the years that has made the apple farming a losing proposition for them due to the massive rise in input costs.
Most of the farmers take the KCC limits to run their small orchards. There is no food security for them back in the field as they have converted the farms into orchards. Earlier they used to grow other crops that would provide them food for their needs.
But now no more. The apple farmers depend entirely on income from orchards to make their both ends meet, funding education of their children, buying ration and meeting out the ever-increasing input cost of maintenance of their orchards.
Adding salt to the injuries this year is that the prolonged drought and hail-stone storms further damaged the crop ranging from 30 to 40 per cent in many apple pockets.
This has hit badly the quality crop in term of size, colour, tang, crispness, juicy content of the fruit.
Over 95 per cent farmers are small and marginal farmers whose main vocation is apple farming. Most of them come from the apple belt of Shimla, Mandi, Kullu, Kinnaur, parts of Chamba and Lahaul-Spiti, the five apple producing districts in Himachal Pradesh.
The Sayunkat Manch has planned a state-level protest march at Rohru from July 11 against the steep price rise of cartons, trays and other packaging material.
The farmers demand an immediate rollback of prices of cartons and trays by reducing the GST to 5 per cent so that the farmers can make up for the high losses they have been suffering over the years, said Ashutosh Chauhan, vice-president of Progressive Growers Association (PGA), an orchardist from Ratnari, Kotkhai.
PGA members said they have raised this issue several times. “We had meeting with secretary Horticulture. We told him to take the issue of GST with the GST Council to keep GST rates at 5 Percent Cent”, they said.
Paper rates have increased as GST rates have increased. This has further increased the prices of the carton and trays. For farming sector the GST should not be more than 5%, the farmers demand.
The manufacturers of cartons and trays blamed the state government for the increase in the prices of packaging material this year.
They have to increase the prices as the government has increased the GST from 12 per cent to 18 per cent this year, they reasoned.
As a result, the prices of cartons have increased between Rs 71 to Rs 75 per carton from Rs 51 to Rs 55 available last year, the farmers said.
Similarly, the price of the standard quality tray has been increased from Rs 500 to Rs 770 per bundle this year.
This resentment has been on the rise ever since the state government increased the cost of chemical fertilisers from Rs 800 per bag two years to Rs 1800 per bag of potash this year.
The same is true about the calcium nitrate and organic fertilizers, whose prices have increased by 50 per cent to 80 percent for the last four years, resented the farmers, expressing their anger.
Co-Convenor of Sayunkat Kisan Manch Sanjay Chauhan charged that the both double engine government at state and Centre have stopped talking about the doubling farmers income the deadline for which expired in 2022.
Apple economy is in deep crisis due to steep increases GST on paper and packaging material and doubling of the prices of the fertilisers which are used by the apple farmers, Chauhan said.
The crop insurance for the apple farmers is a big scam as it benefits the private companies rather than the farmers, he charged.
As a result, number of farmers opting for insurance has reduced as they are not even getting peanuts for losses they suffer due to the hail stone, drought, excess rains or so every year, Chauhan charged.
Condition of landslide- prone Bhatta Kufar market is pathetic. Day long jams congestion have added woes of the farmers.
IIT Mandi has studied the Bhatta Kufar market landslide. It has recommended its closure due to the safety reasons.
It has also recommended remedial measures to stabilize the slopes, but nothing has been started, said the farmers.
The APMC and government did nothing over the years to give a stable Mandi at Dhalli despite APMC has over 68 Bighas of land available at Dhalli, said N S Chaudhari, president of Arhtiyas Association Dhalli, which now has emerged as a whole-sale Mandi for the vegetable in the north India.
Only will of the government is absent to create Mandi at Dhalli. All that need is to hiring experts and designers that will create market yard on 68 bigha of land.
APMC land can create parking circle around the yard for over 1500 m, enough for the needs of apple and vegetable growers who come here from Shimla, Mandi, Kullu and Kinnaur here, said the arhtiyas.
The flyover can be created at Dhalli for making smooth flow of ever-increasing traffic in the capital city here.
Why does the government only think of creating infrastructure for tourists and hoteliers, nothing for creating infrastructure for farmers in Shimla, the apple and vegetable belt, largest producer of apple and vegetable cauliflowers and cabbage, ask the farmers.
In an attempt to address anger and resentment of apple farmers Urban development minister and Shimla MLA Suresh Bhardwaj today told mediapersons that the government is taking up the matter with the Centre and the GST Council of India.
Bhardwaj accompanied by vicechairperson APMC Naresh Sharma, chaired the meeting with the line departments, PWD, APMCs and market board, horticulture, police over preparedness for the apple season in Shimla.
“PWD should keep all its machineries ready mainly in the link roads of the Shimla district which get blocked due to landslides caused by rains”, he said.
“I would take up the demands of apple farmers with the CM”, he added.
Vice-Chairperson HIMFED Ganesh Dutt said the prices of fertilisers like potash and calcium nitrate have increased due to the fact that the raw materials are being imported. The Made in India fertilizes like Urea is cheap, he said.