India

Centre Approves MSP For 14 Crops, Ensuring 1.5 Times Cost Of Production

In a significant move, the Union Cabinet has approved a minimum support price (MSP) of at least cost plus 50% for 14 crops ahead of the Kharif (summer) sowing season. Information and Broadcasting Minister Ashwini Vaishnaw announced at a Cabinet briefing on Wednesday that the MSP for paddy has been raised by ₹117.

A legal guarantee for MSP has been a long-standing demand of farmers, who have staged large-scale protests, including some earlier this year, to advocate for it. This decision is also notable as it comes before the Assembly elections in states such as Haryana, Maharashtra, and Jharkhand, scheduled later this year.

“Prime Minister Narendra Modi has always prioritized farmers. The first decision in the third term was for farmers. In today’s Cabinet meeting, another important decision was made for their welfare. The Kharif season is beginning, and the Cabinet has approved an MSP for 14 crops for the season,” Mr. Vaishnaw stated.

Also read: PM Narendra Modi To Visit Jammu and Kashmir On June 20-21, International Yoga Day Celebrations Scheduled In Srinagar

“In the 2018 Union Budget, the government of India made a clear policy decision that the MSP must be at least 1.5 times the cost of production. Today’s decision aligns with this principle. The cost has been scientifically established based on a study by the Commission for Agricultural Costs and Prices across various districts and tehsils in the country,” he added.

The MSP for paddy for the season has been increased by 5.35%, or ₹117, to ₹2,300 per quintal. In comparison, the price was ₹1,310 in 2013-14.

The MSP for cotton has also been increased to ₹7,121 for the normal variety and ₹7,521 for another variety, which is ₹510 higher than the previous MSP. Millets, a focus area for PM Modi, have seen their MSP set at ₹3,371 for jowar, ₹4,290 for ragi, ₹2,625 for bajra, and ₹2,225 for maize.

Among pulses, the MSP for moong is set at ₹8,682, tur at ₹7,550, which is ₹550 higher than before, and ₹7,400 for urad. The MSP for oilseeds, such as sunflower and groundnut, has also been increased, according to the minister.

According to news agency ANI, the increased MSP will result in a gain of ₹35,000 crore for farmers compared to the previous year.

Kavya Bhatt

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