Following allegations of corruption in the National Agricultural Cooperative Marketing Federation of India's (Nafed) onion procurement process, the Prime Minister's Office (PMO) has initiated an investigation. Onion farmers from Nashik have raised concerns about intermediary companies exploiting the system, resulting in financial discrepancies and unfair treatment.
The PMO's decision to conduct a thorough inquiry was prompted by social media posts that went viral, exposing the corruption. Reports indicate that senior government officials visited Nashik to probe the allegations. They engaged with both farmers and production companies to verify claims of intermediaries inflating onion prices for personal gain.
The controversy centers around Nafed's procurement strategies under the Union government's Price Stabilisation Scheme, intended to amass a buffer stock of five lakh tonnes of onions. Allegations suggest that instead of direct purchases from farmers, onions were procured at higher prices through intermediaries, bypassing the intended direct engagement with farmers.
Additionally, the Maharashtra State Onion Growers Association has demanded an investigation into the practices of federations and Farmer Producer Companies (FPCs). Accusations include the misuse of bank passbooks, land records, and Aadhaar cards for fraudulent procurement, as well as the storage of low-cost onions to be later misrepresented as government-purchased stock.
This inquiry aims to address the grievances of Nashik farmers and ensure transparency and fairness in Nafed's procurement processes. The outcome of the investigation is awaited, as it seeks to uncover the extent of the alleged irregularities and implement corrective measures.
Source: The Hindu Business Line