Profit sharing and Provident fund for Telangana farmers??

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Kerala govt is planning to implement a scheme to benefit farmers and we expect Telangana govt should implement similar one if the intention of the Govt is to help farmers.

Farmers will be entitled to get a share of the profits from farm produce, instead of the usual minimum income they have been getting.

The kerala state Agriculture Department, based on the recommendations of a committee that drafted the scheme, has decided to give a share of the profits to farmers.

The idea is to take a portion of the profit from trading the farm produce, from which value-added products are made and distribute it to farmers.

“This will benefit a section of farmers whose produce is used to make value added products. For example, for a liter of milk, a farmer gets only Rs 35 whereas the profit of Milma(Like Heritage) by selling the value-added products from the milk is Rs 185. Once the policy is implemented, a portion of the profit will be given to farmers,” Minister for Agriculture Kerala VS Sunilkumar .

The scheme assures legal right to farmers in the share of the profits. At the same time, it ensures that no loss is caused for those who make value-added products from the farm produce.

“This will get done by imposing a tax on the farm produce at the point of sale. The Finance Department is working out how it can be done,” Sunil Kumar said.


The aim is to make sure that a farmer gets an income at least equal to that of class four state government employees to keep his life going. While a class four employee gets Rs 18,000 per month, a farmer with agricultural land of five acres doesn’t even get Rs 5,000 per month.

It is estimated that over 40 lakh tonnes of rice are being sold in Kerala every year. “The assessment is that if the government collects a tax of one rupee on one kilogram of rice, an amount of Rs 400 crore can be generated. To give Rs 15,000 as bonus for farmers in the sector and Rs 2,500 for three laborers employed by each farmer, Rs 50 crore will be enough. A farmer selling three tonnes of rice to the state will be eligible for a payment of Rs 15,000 as Deserved profit. The objective is to provide the farmers with provident fund and similar benefits as that of a government employee to keep them in farming.

Similarly Telangana farmers need some help for Government. It would be great if Telangana govt can implement this scheme.


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