The Cabinet Committee on Economic Affairs (CCEA) has announced a significant increase in the minimum support price (MSP) of paddy, marking the second steepest increase in the past decade.
The MSP for paddy has been raised by Rs 143 to Rs 2,183 per quintal for the current year.
This decision aligns with the Government’s commitment to support farmers and comes as part of a series of measures taken in their interest over the past nine years, according to Prime Minister Narendra Modi.
The MSP for other kharif crops for the 2023-24 crop year has also been increased. The MSP of various crops has seen a rise ranging from 5.3 to 10.35 per cent, with an absolute increase of Rs 128 to Rs 805 per quintal.
In the kharif cereals category, the MSP for the ‘common grade’ paddy has been raised by 7 per cent to Rs 2,183 per quintal, while the support price for the ‘A’ grade variety of paddy has been increased to Rs 2,203 per quintal.
Among other crops, jowar (hybrid) and jowar (maldandi) have received a 7 per cent and 7.85 per cent increase, with MSPs set at Rs 3,180 and Rs 3,225 per quintal, respectively.
The MSP for maize has been raised by 6.5 percent to Rs 2,090 per quintal, and ragi’s MSP has increased by 7.49 per cent to Rs 3,846 per quintal.
Moong, one of the pulses crops, has seen the highest increase of 10.35 per cent in MSP, reaching Rs 8,558 per quintal. The MSP for tur has been raised by 6.06 per cent to Rs 7,000 per quintal, and urad’s MSP has been increased by 5.3 per cent to Rs 6,950 per quintal.
In the oilseeds category, sesamum has witnessed a 10.28 percent increase in MSP to Rs 8,635 per quintal, followed by groundnut with a 9 per cent increase to Rs 6,377 per quintal, and soybean (yellow) with a 6.97 per cent increase to Rs 4,600 per quintal. The MSP for niger seed has risen by 6.13 per cent to Rs 7,734 per quintal, and sunflower seed has seen a 5.6 per cent increase to Rs 6,760 per quintal.
For cash crops, cotton (long stable) and cotton (medium stable) have experienced increases of 10.03 per cent and 8.88 per cent, respectively, with MSPs set at Rs 7,020 per quintal and Rs 6,620 per quintal.
Briefing media later, Union Food Minister Piyush Goyal said, “Farmers will benefit from the increase in the MSP at a time when the retail inflation is in a declining trend.”
“In agriculture, we have been fixing MSP from time to time based on the recommendations of CACP (Commission for Agricultural Costs and Prices). The increase in MSP of the kharif crops for this year is highest compared to the previous years,” he added.