The Uttar Pradesh government, in a bid to boost agri-warehousing in the state and to allow farmers to store their produce safely and get a fair price for their efforts, has planned on constructing about 5,000 agri-warehouses across the state, with at least one warehouse for every 10 villages.
“The scheme is expected to cost INR 2,500 crore and will increase the storage capacity of the state by 8.60 lakh tons. It will provide huge relief to farmers by not only helping them protect their produce during natural calamities like rain and fire but also in getting better rates as storing foodgrains properly will prevent them from rotting,” a government official informed the media.
Currently, the farmers are forced to sell off their produce at whatever rate they are offered as they cannot store their grains and therefore wait for a better offer. The buyers are aware of this situation and use it to exploit the farmers, informed the official.
“Other than helping increase the income of the farmers, the warehouses will also create employment opportunities for rural youth as there will be a requirement of caretakers, accountants, security personnel, supervisors,” the official said.
The UP Warehousing and Logistics Policy 2018 saw a major change in July this year which allowed land for warehousing and logistics to be made available at industrial rates.
Earlier, one had to pay commercial charges for warehousing, which was four times the industrial charge. The new policy change has made land substantially cheaper for those planning to set up warehousing and logistics facilities in UP.