Higher MSP, long-term agri credit, key demands of farm unions from upcoming Budget

Higher minimum support price (MSP), cheap and long-term agriculture credit, strengthening of farm value chains are some of the key expectation of farm unions from the upcoming Union Budget for FY27.

Several farm unions, including the Bhartiya Kisan Union (Arajnaitik) and the Peasant Welfare Association, submitted their recommendations for the upcoming Budget to the agriculture ministry on Tuesday.

The unions are seeking a long-term agriculture policy to ensure stability, long-term planning, and growth in farmers' income. They urge the government to implement a clear and binding "Five-Year Agriculture Policy," fixing targets for production, pricing, marketing, export, irrigation, and technical development and implementing them permanently for five years.

The unions also urge the government to provide cheap and long-term agricultural credit with minimum interest rates, a long repayment period, and a clear provision for loan restructuring and interest waiver in case of natural calamities or crop damage. "Establish a Farm Loan Security Corporation—farmers' loan defaults should go into a government risk pool," BKU’s National Spokesperson Dharmendra Malik said.