Salem district, a key maize-producing region in Tamil Nadu, is grappling with a sharp decline in maize prices, with unsold stocks piling up in local markets. Farmers are expressing deep concern over the situation, as the market price has dropped significantly from last year’s levels, leading to financial distress.

Price Collapse and Unsold Stock

The current market price for maize in Salem ranges between Rs 16-18 per kg, depending on moisture content, compared to Rs 24 per kg last year. This has left farmers with large quantities of unsold maize in trading yards, with sales activity slowing down drastically.

The Minimum Support Price (MSP) for maize is set at Rs 2,400 per quintal (equivalent to Rs 24 per kg). However, this year’s market prices have not reached that level, forcing many farmers to sell at a loss.

Farmers are not alone in facing this crisis, as similar conditions are now being observed in several other districts across Tamil Nadu. The situation has raised concerns about the sustainability of maize farming in the region.

Surplus Production and Market Dynamics

K Balasubramaniam, general secretary of Vivasaya Munnetra Kazhagam, attributed the sharp price drop to a surge in maize cultivation this season. ‘Maize is primarily used as poultry feed, and last year’s favorable prices encouraged many farmers to expand their cultivation area,’ he said.

This increase in production has led to a surplus in the market, pushing prices down. ‘As a result, production has gone up and prices have fallen,’ he explained, highlighting the impact of supply and demand dynamics on the market.

Balasubramaniam also criticized the State Agricultural Statistics Authority for not adequately monitoring the cultivation pattern. ‘If proper data on the area under maize and expected yield had been shared, farmers could have understood the demand and supply situation and considered alternative crops such as green gram,’ he said.

The lack of accurate and timely data, he argued, has left farmers unprepared for the current market conditions, exacerbating the crisis.

Financial Strain and Future Outlook

The falling prices have put immense financial pressure on farmers, many of whom are small-scale cultivators. With unsold stock piling up, there is a growing fear that the situation may worsen as the harvesting season progresses.

Experts are now calling for immediate government intervention to stabilize the market and provide relief to affected farmers. The state government has yet to respond publicly to the crisis, and farmers are awaiting concrete measures to address their plight.

The impact of this crisis extends beyond individual farmers, affecting the broader agricultural economy in Tamil Nadu. A prolonged period of low prices could discourage future investment in maize cultivation, potentially altering the region’s agricultural landscape.

With the next harvest season approaching, the situation remains critical. Farmers are urging authorities to take proactive steps to prevent further losses and ensure a more balanced market for the coming year.