Rural demand is expected to get around Rs 11,000-crore boost from the record kharif harvest along with the marginal hike in minimum support price, according to a report by Care Ratings.
The Agriculture Ministry projects a good crop in the first advance estimates for the kharif season at over 150 million tonnes. Along with that, the Government had also earlier increased the minimum support price (MSP) of all kharif crops by 1-5 per cent with tur, urad, groundnut, jowar and bajra getting the upper end of these new prices. The normal monsoons will also aid the farmers. The advance estimates show that while the overall production of crops would be higher this year, there would be shortfalls in some of them like oilseeds, cotton and some of the coarse cereals whose area under cultivation shrank.The Agriculture Ministry on Tuesday released the first advance estimates of production of major kharif crops for 2021-22, with the total food grain production estimated to reach a new high of 150.50 million tonnes (mt).