The Minimum Support Price of six rabi crops has been increased by the Government today.
Hours after the final phase of voting in Bihar ended, the government on Thursday announced impressive hikes in the Minimum Support Prices or MSP for farmers, especially those who grow pulses.
At Rs 200 rupees a kilogram, arhar dal was getting out of reach for most middle class Indian families. Retail prices of dal had also become a poll campaign issue in Bihar.
So, the government announced steps that could increase the supply of pulses in the Rabi season.
To incentivise farmers, the MSP of gram and lentils (masur dal) has been increased by Rs 250 per quintal. Food Corporation of India has been made the nodal agency for better procurement of pulses.
"These hikes have been more or less in line with what the Commission for Agricultural Costs and Prices had suggested. PM Modi decided to give an additional incentive of Rs 75 per quintal for pulse growers," said union minister Piyush Goyal.
The support price for wheat has also been hiked by Rs 75 per quintal.
The government also decided to allocate an additional 27 lakh tonnes of foodgrains to state governments that are yet to implement the Food security Act. The move is expected to help the poor.
But the big bang announcement came from Mr Goyal's own ministry - power sector reforms.
To address the issue of loss making power distribution companies who have also impacted the banking sector because of their huge loans and debts, the government announced a blueprint - Uday - to turn around loss making power distribution companies or discoms by 2019.
"State governments can pick up to 75% of the loans by March 2016. They in turn can issue bonds to raise money," said Mr Goyal. The minister said that from 2017-18, state governments will have to factor in discom losses as part of their Fiscal Responsibility and Budget Management (FRBM) duties.
With the debate on perceived intolerance growing louder, the government is clearly trying to bring back the focus to its reformist agenda.