Amid the Farmers' Protest at Delhi Borders against the 3 Farm Bills passed by the Centre last year, farmers in Punjab itself have benefitted heavily off the Government's Direct Benefit Transfer of MSP as the state recorded its highest ever wheat procurement during this year's Rabi season. This is the first ever time that farmers were paid directly instead of through arthiyas or middlemen.

Government agencies have procured 132.08 lakh metric tonnes of wheat, 2 lakh metric tonnes more than the target set by the state, with more than 9 lakh farmers receiving over Rs 23,000 crore directly into their bank accounts. This comes despite a slightly lesser yield this year and a 12 days shorter Rabi season that began on April 10 and ended Thursday this week.

This year over 9 lakh farmers from across Punjab came to Mandis to sell their produce which was higher than the last year’s number of 8.8 lakhs. Also, last year the state had recorded a yield of 50.04 quintals per hectare while this year the yield was to the tune of 49 quintals per hectare. While in Malwa region the procurement was slightly lesser, Daoba and Majha reported higher procurement.

Ravi Bhagat, Director, Department of Punjab Food Supply and Consumer Affairs, said direct payment into the accounts was one of the main reasons for this. “The government has registered farmers on the Anaj Kharid portal and the money was credited into their accounts, not those of arhtiyas… Punjab has also become the first state where the J form that carries the details about the crop a farmer sells to the government is included in the Digilocker. He is not dependent on a middleman for getting the J form.”

Reportedly, Bharatiya Kisan Union (Dakaunda) leader Jagmohan Singh also said that one of the important reasons more wheat came to mandis was the direct payment of MSP into accounts.

A farmer, Gurdip Singh of village Chak Kalan near Jagraon in Ludhiana district, said that he had sown wheat on 20 acres and sold around 400 quintals for Rs 8 lakh. “I am very happy with this system with money coming directly. I sold my entire crop to government agencies as the MSP was also better this time.”

Union agriculture ministry has attributed this smooth transition to farmer’s acceptance of the new mechanism and crediting the change to central and state procurement agencies. Punjab and Haryana have been the biggest beneficiaries of the same, with the latter accounting for payments of over 12000 crore under the DBT.