Union Cabinet approves hike in MSP for Kharif crops for 2021-22
New Delhi : In a big boost to the farmers amid the pandemic, the union cabinet on Wednesday approved the increase in the Minimum Support Prices (MSPs) for all mandated Kharif crops for marketing season 2021-22.
Government has increased the MSP of Kharif crops for marketing season 2021-22, to ensure remunerative prices to the growers for their produce. The highest absolute increase in MSP over the previous year has been recommended for sesamum (Rs. 452 per quintal) followed by tur and urad (Rs. 300 per quintal each).
For Paddy (common), MSP has been hiked by Rs.70 to Rs. 1940 per quintal. Paddy (grade A) the MSP has been hiked by Rs. 70 to Rs.1960 for 2021-22.
In case of groundnut and nigerseed, there has been an increase of Rs 275 per quintal and Rs 235 per quintal respectively in comparison to last year.
“The increase in MSP for Kharif Crops for marketing season 2021-22 is in line with the Union Budget 2018-19 announcement of fixing the MSPs at a level of at least 1.5 times of the All-India weighted average Cost of Production (CoP), aiming at reasonably fair remuneration for the farmers. The expected returns to farmers over their cost of production are estimated to be highest in case of Bajra (85%) followed by urad (65%) and tur (62%). For rest of the crops, return to farmers over their cost of production is estimated to be at least 50%” said a government release after the cabinet meeting.