Farmers in distress as trader defaults payment

Metro India News | MAHABUBABAD

Farmers who toiled for months and brought their chilli and maize produce to the Mahabubabad agricultural market in the hope of fair prices free from exploitation are now left in distress. The Mahabubabad market operates under the National Electronic Marketing (e-NAM) system. Despite this, some traders have completely undermined the process by purchasing agricultural produce from farmers without making immediate payments. Officials have failed to intervene, leaving eight farmers chasing around Rs 22 lakh owed to them for the past four months.

As per the farmers’ allegations,  one trader purchased agricultural produce worth nearly Rs 50 lakh from farmers at the Mahabubabad market but delayed cash payments without consequence. Two months ago, farmers staged large-scale protests. At that time, the trader paid about Rs 23 lakh and promised the remaining amount of over Rs 22 lakh would be settled soon, prompting farmers to calm down. With months having passed since the sale of their produce and no effective action taken to secure payments, one farmer grew so distressed that he poured petrol on himself and attempted self-immolation, creating a major sensation.

Farmers have expressed anguish that even though the e-NAM system is fully online, officials turned a blind eye as the trader purchased produce worth lakhs on credit, causing them irreparable loss. They have urged higher officials of the marketing department to intervene even at this stage, take action against traders who are similarly exploiting the e-NAM system at Mahabubabad agricultural market  and ensure justice for the affected cultivators. Against the backdrop of the trader absconding without paying farmers, Deputy Director of the Marketing Department Padmavathi visited the Mahabubabad market on Wednesday. She inquired into the incidents that occurred on Tuesday, examined why payments to farmers were delayed despite the e-NAM system, and reviewed the trader’s purchase records. Officials have reportedly initiated steps to sell some of the defaulting trader’s assets to recover the dues for the affected farmers and assured that the outstanding amounts would be paid within a month, leading the protesting farmers to call off their agitation.