Odisha Govt Launches LABHA Scheme – a 100% State-funded MSP Scheme for Minor Forest Produce

Odisha LABHA Scheme:- The LABHA (‘Laghu Bana Jatya Drabya Kraya’) Yojana, a 100% State-funded minimum support price (MSP) initiative for marginal forest produce (MFP), was announced by the Odisha government on January 29. Read the article below to learn more about the Odisha LABHA Scheme.

Odisha LABHA Scheme 2024

Odisha LABHA Scheme 2024

LABHA Yojana is a 100% state-funded MSP for the MFP scheme (minimum support price for minor forest produce). The State Government will set the Minimum Support Price each year. A primary collector (tribal) will be permitted by the system to sell minor forest produce at the Minimum Support Price that TDCCOL collects at the procurement centres. The decision to launch the Odisha LABHA Scheme hailed as historic by the Chief Minister Naveen Patnaik-led Cabinet, is expected to affect the State’s sizable tribal population, which makes up almost one crore people or 23% of Odisha’s total population. The new plan might facilitate more tribal and forest fringe inroads for the ruling BJD.

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Odisha Laghu Bana Jatya Drabya Kraya Yojana Details in Highlights

NameOdisha LABHA Scheme
Launched byOdisha government
Launched onJanuary 29
Objectivedevelopment of the tribals of Odisha
BenefitsUnder the scheme, a primary collector (tribal) will be able to sell the minor forest produce at the Minimum Support Price collected at the procurement centres by TDCCOL

Objective of Odisha LABHA Scheme

From now onwards, the State government will establish the MSP of MFP annually. The MFP, which is collected at the procurement centres by the Tribal Development Cooperative Corporation Limited of Odisha (TDCCOL), will be allowed to be sold at the MSP by a main collector, who is a member of the tribe.

Even though the MSP for MFP is set by the Tribal Cooperative Marketing Federation of India, recipients in Odisha have not received benefits in several years.

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Benefits of Odisha LABHA Scheme

The government shall annually set the minimum support price for MFPs under the entirely state-funded Laghu Bana Jatya Drabya Kraya Yojana. Tribal Development Cooperative Corporation of Odisha Limited (TDCCOL) collection facilities will allow tribal members who make up 99 percent of the primary collectors of MFPs to market their produce.

Mission Shakti’s Women SHGs (self-help groups) would be integrated with the LABHA Yojana operations, as women make up the bulk of these 99% tribal primary collectors. SHGs and any other designated organisations working with TDCCOL will oversee these procurement centres.

The State government had originally set aside ₹100 crore, of which 2% would go to the SHG or any other body. The money would be paid into the beneficiary’s account via a Direct Benefit Transfer (DBT) as soon as it was collected. Even though the State government intends to include 30,000 indigenous members in the programme, it’s anticipated that the total will soon approach one lakh.

Advantages of Odisha Laghu Bana Jatya Drabya Kraya Yojana

The procurement point, the primary collectors’ information, and the overall number of MFPs collected will all be recorded by the procurement automation system. The procurement automation system will use technology to assure transparency and will benefit tribal people more, in line with the State’s “Vision 5T” framework (teamwork, technology, transparency, and time, leading to change). Additionally, the TDCCOL will investigate value addition and processing units in addition to e-tendering to increase sales.

The State government is investing an estimated ₹25 crore to establish a tamarind processing facility in Rayagada, with the aim of providing further benefits to the tribal community. For value addition, the plant will use tamarind that was acquired through the LABHA Yojana. Additionally, the LABHA Yojana will make it impossible for produce to be sold in distress to middlemen.

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Tribal group in Odisha

Odisha has one of the most varied tribal landscapes in the nation, with 62 different tribes living there, including 13 Particularly Vulnerable Tribal Groups (PVTG). After Madhya Pradesh and Maharashtra, it has the third-largest concentration of a tribal community. About 68.09% of the State’s total tribal population consists of the Scheduled Tribes residing in Scheduled Areas. It is noteworthy that 314 blocks total in Odisha, 121 of which have been declared as Scheduled Areas. Furthermore, the Scheduled Areas classification applies to around 44.70% of the State’s geographical area.

In Odisha, there are twenty-one tribal languages. Through this commission, the government hopes to protect, develop, promote, and conserve the tribal languages. Among other enriching initiatives for the development of the tribal languages, it will support multilingual education, the documentation and preservation of tribal languages, the use of those languages, and the protection of linguistic rights.

The Multilingual Education (MLE) initiative incorporates all 21 tribal languages that have been acknowledged by the government into its educational system. The Commission will work with the Centre to include tribal languages like Ho, Mundari, Kui, and Saora in the Eighth Schedule of the Indian Constitution. The State government has made multiple attempts to include these languages in the Eighth Schedule, but to no avail.

The Minimum Support Price will be determined every year by the State Govt. Under the scheme, a primary collector (tribal) will be able to sell the minor forest produce at the Minimum Support Price collected at the procurement centres by TDCCOL

How to Apply for Odisha LABHA Scheme

The government has not notified the official website for the Odisha LABHA Scheme. All the eligible applicants can visit the official website and fill out the form there once the government announces its official website.


What s Odisha LABHA Scheme?

A fully state-funded MSP for the MFP programme is called LABHA Yojana (minimum support price for minor forest produce).

What benefit shall a tribal person get from Odisha LABHA Scheme?

A primary collector (tribal) will be able to sell the minor forest produce at the Minimum Support Price collected at the procurement centres by TDCCOL.

What is the official website for Odisha LABHA Scheme?

The official website for Odisha LABHA Scheme is not notified yet.

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