The Cabinet Committee of Economic Affairs on Wednesday approved the increase of up to 9 per cent in the Minimum Support Prices (MSP) for all mandated Rabi crops for marketing season 2024-25.
The maximum MSP raise has been granted for lentil (masur) at INR 425 per quintal, with rapeseed and mustard receiving an increase of INR 200 per quintal.
An increase of INR 150 per quintal has been sanctioned for both wheat and safflower.
Barley will see an increase of INR 115 per quintal, while gram will receive an approved raise of INR 105 per quintal.
The MSP hike for the prescribed Rabi crops for the marketing season 2024-25 aligns with the commitment made in the Union Budget of 2018-19, which aimed to set the MSP at a minimum of 1.5 times the All-India weighted average cost of production.
The anticipated margin over the All-India weighted average cost of production stands at 102 percent for wheat, followed by 98 percent for rapeseed & mustard, 89 percent for lentil, 60 percent for gram, 60 percent for barley, and 52 percent for safflower.
The heightened MSP for Rabi crops will guarantee profitable returns to farmers and encourage the diversification of crops.