In a bid to secure crucial funds for Punjab’s agricultural infrastructure, a high-level delegation from the state met Union Finance Minister Nirmala Sitharaman in New Delhi. The delegation, led by Punjab Finance Minister Harpal Singh Cheema, included Food and Civil Supplies Minister Lal Chand Kataruchak, Member of Parliament Vikramjit Singh Sahney, and Punjab Chief Secretary KAP Sinha. The group highlighted the immediate need for the release of Rs 7,000 crore under the Rural Development Fund (RDF) and Market Development Fund (MDF). 

The funds, integral to maintaining Punjab’s robust mandi and agricultural marketing infrastructure, have been delayed, impacting key developmental activities. Addressing the media post-meeting, Finance Minister Cheema expressed optimism about a resolution, describing the discussions as “constructive”.

Cheema emphasized the pivotal role of RDF and MDF in sustaining Punjab’s agricultural ecosystem, noting that the state’s extensive mandi infrastructure, developed over decades, is unique in India. Unlike non-Decentralized Procurement (DCP) states, Punjab relies heavily on these funds to maintain its vast network of roads, mandis, and other procurement-related infrastructure. 

“Punjab’s agricultural marketing infrastructure, built over years of investment and effort, ensures seamless procurement and connectivity. The RDF and MDF have been instrumental in developing and maintaining this network, especially roads linking remote villages to mandis. Without these funds, essential maintenance, and recarpeting activities will come to a halt,” Cheema stated. 

Cheema argued that Punjab’s case should not be compared to non-DCP states, as the state’s infrastructure costs are inherently higher due to its extensive and time-tested system. He highlighted the disparity, emphasizing that Punjab’s well-developed procurement processes depend on these funds, and further delays would jeopardize their sustainability. 

The delegation urged the Union Government to address the RDF and MDF issue on priority, warning that any further delay could lead to serious procurement disruptions. “Such a situation would be detrimental to both Punjab and the Centre, especially given Punjab’s vital role in the country’s food security,” Cheema asserted. 

Expressing hope for a favourable decision, Cheema added, “We trust that the Union Government will recognize Punjab’s unique challenges and release the funds promptly to ensure the continued development and maintenance of agricultural infrastructure.”