Uttar Pradesh Extends Potato Price and Storage Support to More Than 22,000 Farmers

More than 22,000 growers targeted

Uttar Pradesh plans to connect more than 22,000 potato growers in Barabanki district with financial assistance under the Bhamashah Price Stability Fund, according to Dainik Jagran. The program is intended to compensate farmers when potato market prices fall and to subsidize part of the cost of keeping their crop in private cold storage. Assistance will be transferred directly to eligible farmers’ bank accounts.

The scale of stored supply underlines the pressure facing the district’s potato market. About 750,000 metric tonnes of potatoes are held across 77 cold-storage facilities in Barabanki. With a large volume awaiting sale, the authorities expect the program to reach a substantial number of producers.

Price gap puts pressure on farm returns

Dainik Jagran reported that the current wholesale potato price is around ₹700-₹800 per quintal, equivalent to ₹7-₹8 per kilogram. Potatoes are meanwhile selling in the retail market for as much as approximately ₹20 per kilogram. The difference between farm-level and retail prices does not itself determine growers’ margins, but the reported decline in wholesale values has increased concern about the gap between production costs and the price received by farmers.

When the market price falls, an eligible farmer may receive either the difference between production cost and the sale price or a subsidy equal to 25% of the prescribed cost, as applicable under the program. Support is limited to a maximum of two hectares per farmer and no more than 240 quintals of potatoes. These ceilings concentrate the measure on defined volumes rather than providing unlimited protection against a market downturn.

Cold-storage subsidy and online access

Farmers storing potatoes in private cold-storage facilities may also receive help with storage charges. The subsidy is set at ₹1 per kilogram, capped at ₹100 per quintal. Each farmer can receive no more than ₹20,000 under this part of the scheme. The storage support may give growers additional time before selling, although the benefit remains subject to the individual cap and the program’s eligibility requirements.

District Horticulture Officer Pragya Upadhyay said the Horticulture Department is operating the scheme to help potato growers obtain better prices for their produce and seed potatoes and to strengthen their financial position. Farmers seeking assistance must submit an online application through the Uttar Pradesh potato portal. The combination of digital registration, direct bank transfers, price-loss compensation and storage aid is designed to make support more accessible while documenting claims against eligible acreage and crop volumes.