The Cabinet Committee on Economic Affairs (CCEA) on May 28, 2025, approved Minimum Support Prices (MSP) for Kharif Crops for Marketing Season 2025-26.
This move aims to ensure farmers receive remunerative prices for their produce, aligning with the Union Budget 2018–19 commitment to set MSPs at least 1.5 times the all-India weighted average cost of production. The highest MSP increase has been granted to nigerseed (₹820 per quintal), followed by ragi (₹596), cotton (₹589), and sesamum (₹579).
The revised MSPs offer significant margins over production costs, with the highest returns estimated for bajra (63%), maize (59%), tur/arhar (59%), and urad (53%). For other crops, the margin is around 50%. This initiative supports the government's continued emphasis on diversifying crop cultivation by encouraging farmers to grow pulses, oilseeds, and Nutri-cereals (Shree Anna) with higher MSP incentives, shifting focus beyond traditional cereals.
From 2014–15 to 2024–25, there has been a substantial increase in procurement and MSP disbursements compared to the previous decade. Paddy procurement rose from 4590 LMT (2004–2014) to 7608 LMT, while overall procurement of 14 Kharif crops increased from 4679 LMT to 7871 LMT. Correspondingly, MSP payments to farmers surged from ₹4.44 lakh crore to ₹14.16 lakh crore for paddy and from ₹4.75 lakh crore to ₹16.35 lakh crore for all 14 crops, underscoring the government’s commitment to strengthening agricultural income.
[Release ID: 2131983]
