The Cabinet Committee on Economic Affairs (CCEA) has approved proposal to double guarantee to Rs. 19,000 crore from earlier Rs 9,500 crore to National Agricultural Cooperative Marketing Federation(NAFED) for obtaining credit from banks for procurement of pulses and oilseeds at the support price. The regularization and extension is for undertaking procurement operation of pulses and oilseeds under Price Support Scheme (PSS).
The Cabinet Committee on Economic Affairs has doubled the credit limit of agri cooperative Nafed to undertake procurement of pulses and oil seeds amid market rates of tur and chana crops ruling more than 20% below their MSP. The CCEA on Wednesday approved an increase in government guarantee to Rs 19,000 crore from Rs 9,500 crore, which is provided to lender bank to extend the credit to the National Agricultural Cooperative Marketing Federation of India (Nafed).
The agency undertakes procurement operation of pulses and oil seeds under the Price Support Scheme (PSS) of the government to help farmers when market rates fall below MSP. The government assurance will be valid until 2021-22 and the CCEA has waived 1% authorities guarantee fee. Apart from enhancing the credit limit of Nafed, the CCEA has also approved Rs 45 crore to the Small Farmers Agri-Business Consortium (SFAC) for meeting their existing liability and settlement of extant claims.
As the market price of almost all pulses and oil seeds are ruling below Minimum Support Price (MSP), the provision of government guarantee will help in protecting the farmers producing these commodities from making distress sales during the peak arrival period, an official statement said.
The move will also help provide remunerative prices to encourage higher investment and production and also to safeguard the interest of consumer by making available supplies at reasonable prices, it said.
Apart from procuring under the PSS, Nafed also had purchased 11.95 lakh tone of pulses under the purchase price Stabilization Fund scheme for the buffer stock during 2016-17 (October-September). The federal government has allocated Rs 200 crore for both PSS and market intervention scheme (MIS) during FY2018-19.
The MIS is utilized for compensating losses to state governments up to 50% while buying and selling vegetables like onion and potato to help farmers when market rates dip.These government guarantees are provided for a period of five years i.e. till 2021-22 by Government of India and with waiver of 1 per cent government guarantee fee,” the statement said.
The government guarantee to Nafed has been doubled to Rs 190 billion from Rs 95 billion for undertaking procurement of pulses and oilseeds under the Price Support Plan (PSS), it said.
In view of fall in prices of pulses and oil seeds below the MSP, the provision of government guarantee can help in protecting the farmers from making distress sales through the peak arrival period and to provide remunerative prices, it added.
Procurement of pulses and oil seeds by Nafed will be done under the existing Price Support Structure (PSS) which is implemented at the request of the state government concerned. The decision to double the government guarantee was approved by the Committee on Economic Affairs (CCEA). It also approved the federal government promise up to Rs 45 crore to the Small Farmers Agri-Business Consortium (SFAC) for conference its existing liability and arrangement of existing statements.
The basic objectives of the PSS are to provide remunerative prices to the growers for their produce with a view to encourage higher investment and production and also to safeguard the eye of consumers by causing available supplies at reasonable prices with low cost of inter mediation.
National Agricultural Cooperative Marketing Federation of India Ltd (NAFED):
National Agricultural Cooperative Marketing Federation of India Ltd (NAFED) is an apex organization of marketing cooperatives for agricultural produce in India, under Ministry of Agriculture, Government of India. It was founded in October 1958 to promote the trade of agricultural produce and forest resources across the nation. NAFED is now one of the largest procurement as well as marketing agencies for agricultural products in India. With its headquarters in New Delhi, NAFED as four regional offices at Delhi, Mumbai, Chennai and Kolkata, apart from 28 zonal offices in capitals of states and important cities.
Pakistan has confirmed that it will be added on ‘grey list’ of the Financial Action Task Force (FATF) in June 2018, once an action plan is mutually negotiated. But it has disputed claims of being put on ‘black list’ from ‘grey list’, which are mainly non-cooperative countries. Earlier, Pakistan was on the FATF grey-list from 2012 to 2015.
“Pakistan will be assigned to the ‘grey list’ in June, once an action plan has been mutually negotiated. The statement that Pakistan will be transferred from the ‘grey’ to the ‘black’ list in June is therefore not true. The FATF website clearly demarcates the countries in the ‘black’ list as those who are non-cooperative”.
Pakistan will be placed back onto an international terrorism-financing watch list from June, according to a person with direct knowledge of the matter, a move that may hinder the country’s access to financial markets.
The move follows a push from the US, UK, France and Germany to get Pakistan positioned on the Financial Action Task Force’s “grey” monitoring list during a review meeting in Paris this week. China, which is financing more than $50 billion of infrastructure projects across Pakistan, removed its earlier objections to the move, said the person, who asked not to be determined as the discussions are private. Pakistan’s benchmark stock index reversed earlier gains and fell 0.6% at the close in Karachi.
A declaration from FATF after the Paris meeting on Friday made no mention of Pakistan. Technically the South Asian nation has three months to convince your body that it has acted against terror organisations, though it’ll be difficult for them in practice.
Earlier this week, Foreign Minister Khawaja Muhammad Asif said no consensus had been reached to put Pakistan on the list and that the nation had been given a three-month “pause.”
The move is the latest attempt to get Islamabad to take more action against terror groups that allegedly have support and sanctuary within Pakistan. Relations with the united states have deteriorated drastically in the past 12 months and in his first tweet of 2018, President Donald Trump said Pakistan gave “lies and deceit” in return for American funding. FATF removed the nuclear-armed country after three years in 2015 from a list of countries which are subjected to regular monitoring.
Being placed on the list may impede Pakistan’s usage of global markets at a time when its foreign reserves are dwindling and external deficits are widening ahead of national elections in July. Yet, during the previous period under FATF monitoring, Pakistan managed to negotiate an International Monetary Fund bailout and continued to tap the international bond market.
“Gradually the US is coming up with more pressure,” Shamoon Tariq, the Stockholm-based vice chief investment officer at Tundra Fonder AB, said before the decision. If the US “puts more pressure on the World Lender and IMF on future financing, that would be a real challenge.”
Last week, Pakistan vigorously tried to avoid inclusion to the list and said the united states had voiced concerns about the freedom with which the suspected planner of the 2008 Mumbai attacks, Hafiz Saeed, and his organisations operated in the united states.
The other day, Pakistan announced that it changed a law and now allowed its security forces to take action against groups on the UN Security Council list — such as Saeed’s charities that are alleged fronts for militant group Lashkar-e-Taiba. In addition, it seized dozens of offices, buildings, seminaries and ambulances belonging to Saeed’s Jamaat-ud-Dawa and Falah-e-Insaniat Foundation.
Pakistan’s Prime Minister Shahid Khaqan Abbasi also said in an interview this month that in the last two to three months Pakistan has “more or less complied” with sanctions against Saeed’s organizations. However, Abbasi said more action against Saeed himself was unlikely as “we have no charges against him.” India says it has provided evidence against Saeed to Pakistan.
The Ministry also criticized the Indian Motion Pictures Suppliers’ Association’s decision to uphold its ban on Pakistani artists. “It is unfortunate art and cinema, which bring people together by acting as cultural bridges are being held hostage to hate and xenophobia”.
The FATF blacklist was the common shorthand description for the Financial Action Task Force list of “Non-Cooperative Countries or Territories” (NCCTs) issued since 2000, which it perceived to be non-cooperative in the global fight against money laundering and terrorist financing.
The FATF blacklist or OECD blacklist has been issued by the Financial Action Job Pressure since 2000 and lists countries which it judges to be non cooperative in the global fight money laundering and terrorist financing, calling them “non cooperative Countries or Territories” (NCCTs). Although non-appearance on the blacklist was perceived to be always a mark of approbation for offshore financial centres (or “tax havens”) who are sufficiently well regulated to meet all of the FATF’s criteria, used the list included countries that did not operate as just offshore financial centres. The FATF updates the blacklist regularly, adding or deleting entries.
Since 2008 the FATF has, at the behest of G20 leaders, installed a more analytical process of identifying jurisdictions deficient in their anti-money laundering and anti-terrorist funding regimes