Farmers In Jute Sector To Gain From MSP Hike: PM Modi

On Thursday, Prime Minister Narendra Modi announced a crucial move to support farmers in the jute sector, including those in West Bengal, by approving an increase in the Minimum Support Price (MSP) of raw jute for the 2025-26 marketing season.

Taking to X, PM Modi posted, “Our government has taken a big step in the interest of jute-producing farmer brothers and sisters across the country. An increase in the MSP of raw jute has been approved for the year 2025-26. This will benefit lakhs of farmers associated with this sector in many states of the country, including West Bengal.”

The Cabinet Committee on Economic Affairs (CCEA), led by PM Modi, set the MSP of raw jute (TD-3 grade) at Rs 5,650 per quintal for the 2025-26 season, marking a 66.8 percent return over the all-India weighted average cost of production.

This marks an increase of Rs 315 per quintal from the MSP for the 2024-25 season, aligning with the government’s policy of setting MSP at least 1.5 times the average production cost, as outlined in the 2018-19 Union Budget.

Under the current government, the MSP for raw jute has risen significantly, from Rs 2,400 per quintal in 2014-15 to Rs 5,650 per quintal for 2025-26, a 2.35-fold increase of Rs 3,250 per quintal.

Jute Industry Supports 40 Lakh Farmers; Employs 4 Lakh Workers

The jute industry directly or indirectly supports the livelihoods of 40 lakh farm families, with around 4 lakh workers employed in jute mills and trade.

In the previous year, jute procured from 1.7 lakh farmers, with West Bengal contributing 82 percent of jute farmers, while Assam and Bihar each contributed 9 percent to national production.

The Jute Corporation of India (JCI) will continue to handle Price Support Operations, with the central government covering any losses incurred during these operations.

The official statement emphasized the significant increase in payments to jute farmers over the years.

Between 2014-15 and 2024-25, Rs 1,300 crore paid to jute farmers, compared to Rs 441 crore from 2004-05 to 2013-14.

This decision highlights the government’s continued commitment to the welfare of jute farmers, aiming to enhance financial security and stabilize the sector.

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