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  India   All India  20 Jun 2024  Cabinet hikes MSP for kharif crops

Cabinet hikes MSP for kharif crops

THE ASIAN AGE. | SHASHI BHUSHAN
Published : Jun 20, 2024, 12:34 am IST
Updated : Jun 20, 2024, 12:34 am IST

The new MSP rates aim to ensure better income for farmers and support the agricultural sector during the upcoming kharif season

Railway Minister Ashwini Vaishnaw addresses a press conference on cabinet briefing, in New Delhi, Wednesday, June 19, 2024. (PTI Photo)
 Railway Minister Ashwini Vaishnaw addresses a press conference on cabinet briefing, in New Delhi, Wednesday, June 19, 2024. (PTI Photo)

NEW DELHI: The Union Cabinet, chaired by Prime Minister Narendra Modi, approved an increase in the Minimum Support Prices (MSP) for all mandated kharif crops for the marketing season 2024-25 on Wednesday.

Union minister Ashwini Vaishnaw, sharing details of the Cabinet meeting, stated, "Some very important decisions have been taken in today's Cabinet chaired by Prime Minister Narendra Modi. One very important decision has been taken for the welfare of farmers. The kharif season is starting, and for that, the Cabinet has approved MSP on 14 crops. The new MSP for paddy is Rs 2,300, which is a Rs 117 increment over the previous MSP."

Vaishnaw explained that the Cabinet approved the MSP for 14 kharif crops based on recommendations from the Commission for Agricultural Costs and Prices (CACP).

The MSP for 'common' grade paddy has been raised by Rs 117 to Rs 2,300 per quintal. For the 'A' grade variety, the MSP has been increased to Rs 2,320 per quintal. Vaishnaw highlighted that the government has maintained a clear policy decision from the 2018 Union Budget that MSP should be at least 1.5 times the cost of production, and this principle was followed in the latest MSP hike.

Significant MSP Increases for Oilseeds and Pulses:
Nigerseed: Increase of Rs 983 per quintal.
Sesamum: Increase of Rs 632 per quintal.
Tur/Arhar: Increase of Rs 550 per quintal.
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Expected Margins Over Cost of Production:
Bajra: 77 per cent
Tur: 59 per cent
Maize: 54 per cent
Urad: 52 per cent
For the rest of the crops, the margin is estimated to be 50 per cent.
The new MSP rates aim to ensure better income for farmers and support the agricultural sector during the upcoming kharif season.

Tags: minimum support price (msp), kharif crops, ashwini vaishnaw
Location: India, Delhi