Market Intervention Scheme (MIS) is a price support mechanism implemented on the request of State Governments for procurement of perishable and horticultural commodities in the event of a fall in market prices. The Scheme is implemented when there is at least 10% increase in production or 10% decrease in the ruling rates over the previous normal year.
The objective of Market Intervention Scheme is to protect the growers of horticultural/agricultural commodities from making distress sale in the event of bumper crop during the peak arrival period when prices fall to very low level. The MiS scheme works in a similar fashion to Minimum Support Price based procurement mechanism for food grains, but is an adhoc mechanism.
The scheme is implemented by Department of Agriculture & Cooperation and is activated on the specific requests of the State Government/UT Administrations willing to share the loss with Central Government on 50:50 basis (75:25 in case of North-Eastern States).
The MiS has been implemented in case of commodities like apples, kinnoo/malta, garlic, oranges, galgal, grapes, mushrooms, clove, black pepper, pineapple, ginger, red-chillies, coriander seed, isabgol, chicory, onions, potatoes, cabbage, mustard seed, castor seed, copra, palm oil etc. in the States of Himachal Pradesh, Haryana, Punjab, Andhra Pradesh, Maharshtra, Karnataka, Rajasthan, Gujarat, Kerala, Jammu and Kashmir, Mizoram, Sikkim, Meghalaya, Tripura, Uttar Pradesh, West Bengal, Madhya Pradesh, Andaman and Nicobar islands, Lakshadweep etc.
In 2017, Rajasthan Government has used MIS scheme for purchase of garlic.
