New Delhi: The government on Wednesday increased the minimum support price (MSP) for paddy by 5.35 per cent to Rs 2,300 per quintal for the 2024-25 kharif marketing season, a move ahead of key state assembly elections.
The increase in support price of paddy by Rs 117 per quintal comes despite the government grappling with huge rice surplus, but it assumes significance ahead of elections in states like Haryana, Maharashtra, Jharkhand and Delhi.
The MSP increase in 14 kharif (summer) crops is the first major decision of Prime Minister Narendra Modi's third term and reflects the government's "clear policy" of keeping the support price at least 1.5 times the cost of production, Information and Broadcasting Minister Ashwini Vaishnav said.
Paddy is the main Kharif crop. Sowing of kharif crops usually begins in June with the onset of the south-west monsoon and marketing takes place between October 2024 and September 2025.
Announcing the MSP hike, Vaishnav said the Cabinet has approved minimum support prices for 14 kharif crops based on the recommendations of the Commission for Agricultural Costs and Prices (CACP).The minister said the total financial impact from the MSP hike is estimated to be Rs 2,00,000 crore, which is about Rs 35,000 crore more than last season, which will significantly increase farmers' income.
Vaishnav told reporters that the MSP for 'normal' grade paddy has been increased by Rs 117 to Rs 2,300 per quintal, while for 'A' grade variety it has been increased to Rs 2,320 per quintal for the upcoming kharif season.
Among cereals, the MSP of 'hybrid' grade jowar has been increased by Rs 191 to Rs 3,371 per quintal, while for 'Maldani' variety, it has been increased by Rs 196 to Rs 3,421 per quintal for the 2024-25 marketing season. (October-September).
For 2024-25, the support price of millet has been increased by Rs 125 to Rs 2,625 per quintal, that of ragi by Rs 444 to Rs 4290 per quintal and that of maize by Rs 135 to Rs 2,225 per quintal.
To reduce the country's dependence on imports of pulses, the MSP of tur for 2024 has been increased by Rs 550 to Rs 7,550 per quintal, of urad by Rs 450 to Rs 7,400 per quintal and of moong by Rs 124 to Rs 8,682 per quintal. .25 Kharif marketing season.
Similarly, for the upcoming Kharif season, the support price of sunflower seeds was increased by Rs 520 to Rs 7,280 per quintal, the support price of groundnut was increased by Rs 406 to Rs 6,783 per quintal, the support price of soybean (yellow) was increased by Rs 292 to Rs 4,892 per quintal. Is.
For 2024-25, the support price of sesame has been increased by Rs 632 to Rs 9,267 per quintal and the support price of nigerseed has been increased by Rs 983 to Rs 8717 per quintal.
In case of commercial crops, the support price of cotton has been increased by Rs 501 to Rs 7,121 per quintal for 'medium staple' variety and Rs 7,521 per quintal for long staple variety.
Vaishnav said that the government has taken care of the farmers' concerns from 'seed to market'."In the first two terms, the government created a strong base for the economy and farmers' welfare. On that strong base, we can take a good leap. There is continuity in the policy while keeping the focus on farmers," he said.
According to the government, the expected margin to farmers on their cost of production is estimated to be highest in the case of millet (77 per cent), followed by arhar (59 per cent), maize (54 per cent) and urad (52 per cent). . Percent).
For the rest of the crops, the margin to farmers on their production cost is estimated to be 50 per cent, an official statement said.The Food Corporation of India currently has a record stock of about 53.4 million tonnes of rice, which is four times the required buffer and enough to meet the demand under welfare schemes for a year without any fresh procurement.
According to the weather department, despite nearly 20 per cent less rainfall across the country since the beginning of the monsoon season on June 1, weather conditions are now favorable for further advance of the monsoon.
The increase in support price of paddy by Rs 117 per quintal comes despite the government grappling with huge rice surplus, but it assumes significance ahead of elections in states like Haryana, Maharashtra, Jharkhand and Delhi.
The MSP increase in 14 kharif (summer) crops is the first major decision of Prime Minister Narendra Modi's third term and reflects the government's "clear policy" of keeping the support price at least 1.5 times the cost of production, Information and Broadcasting Minister Ashwini Vaishnav said.
Paddy is the main Kharif crop. Sowing of kharif crops usually begins in June with the onset of the south-west monsoon and marketing takes place between October 2024 and September 2025.
Announcing the MSP hike, Vaishnav said the Cabinet has approved minimum support prices for 14 kharif crops based on the recommendations of the Commission for Agricultural Costs and Prices (CACP).The minister said the total financial impact from the MSP hike is estimated to be Rs 2,00,000 crore, which is about Rs 35,000 crore more than last season, which will significantly increase farmers' income.
Vaishnav told reporters that the MSP for 'normal' grade paddy has been increased by Rs 117 to Rs 2,300 per quintal, while for 'A' grade variety it has been increased to Rs 2,320 per quintal for the upcoming kharif season.
Among cereals, the MSP of 'hybrid' grade jowar has been increased by Rs 191 to Rs 3,371 per quintal, while for 'Maldani' variety, it has been increased by Rs 196 to Rs 3,421 per quintal for the 2024-25 marketing season. (October-September).
For 2024-25, the support price of millet has been increased by Rs 125 to Rs 2,625 per quintal, that of ragi by Rs 444 to Rs 4290 per quintal and that of maize by Rs 135 to Rs 2,225 per quintal.
To reduce the country's dependence on imports of pulses, the MSP of tur for 2024 has been increased by Rs 550 to Rs 7,550 per quintal, of urad by Rs 450 to Rs 7,400 per quintal and of moong by Rs 124 to Rs 8,682 per quintal. .25 Kharif marketing season.
Similarly, for the upcoming Kharif season, the support price of sunflower seeds was increased by Rs 520 to Rs 7,280 per quintal, the support price of groundnut was increased by Rs 406 to Rs 6,783 per quintal, the support price of soybean (yellow) was increased by Rs 292 to Rs 4,892 per quintal. Is.
For 2024-25, the support price of sesame has been increased by Rs 632 to Rs 9,267 per quintal and the support price of nigerseed has been increased by Rs 983 to Rs 8717 per quintal.
In case of commercial crops, the support price of cotton has been increased by Rs 501 to Rs 7,121 per quintal for 'medium staple' variety and Rs 7,521 per quintal for long staple variety.
Vaishnav said that the government has taken care of the farmers' concerns from 'seed to market'."In the first two terms, the government created a strong base for the economy and farmers' welfare. On that strong base, we can take a good leap. There is continuity in the policy while keeping the focus on farmers," he said.
According to the government, the expected margin to farmers on their cost of production is estimated to be highest in the case of millet (77 per cent), followed by arhar (59 per cent), maize (54 per cent) and urad (52 per cent). . Percent).
For the rest of the crops, the margin to farmers on their production cost is estimated to be 50 per cent, an official statement said.The Food Corporation of India currently has a record stock of about 53.4 million tonnes of rice, which is four times the required buffer and enough to meet the demand under welfare schemes for a year without any fresh procurement.
According to the weather department, despite nearly 20 per cent less rainfall across the country since the beginning of the monsoon season on June 1, weather conditions are now favorable for further advance of the monsoon.