Union Cabinet Approves Minimum Support Prices (MSP) for Kharif Crops for
Marketing Season 2023-24
The Cabinet
Committee on Economic Affairs (CCEA) chaired by the Hon’ble Prime Minister
Narendra Modi has approved the increase in the Minimum Support Prices (MSP) for
all mandated Kharif Crops for Marketing Season 2023-24.
Government has increased the MSP of
Kharif Crops for Marketing Season 2023-24, to ensure remunerative prices to the
growers for their produce and to encourage crop diversification, as provided in
the table below:
Minimum Support Prices for Kharif
Marketing Season (KMS) 2023-24
|
(Rs. per quintal) |
||||||
|
Crops |
MSP 2014-15 |
MSP 2022-23 |
MSP 2023-24 |
Cost* KMS 2023-24 |
Increase in MSP over 2022-23 |
Margin over cost in per cent |
|
Paddy -Common |
1360 |
2040 |
2183 |
1455 |
143 |
50 |
|
Paddy-Grade A^ |
1400 |
2060 |
2203 |
- |
143 |
- |
|
Jowar-Hybrid |
1530 |
2970 |
3180 |
2120 |
210 |
50 |
|
Jowar- Maldandi^ |
1550 |
2990 |
3225 |
- |
235 |
- |
|
Bajra |
1250 |
2350 |
2500 |
1371 |
150 |
82 |
|
Ragi |
1550 |
3578 |
3846 |
2564 |
268 |
50 |
|
Maize |
1310 |
1962 |
2090 |
1394 |
128 |
50 |
|
Tur /Arhar |
4350 |
6600 |
7000 |
4444 |
400 |
58 |
|
Moong |
4600 |
7755 |
8558 |
5705 |
803 |
50 |
|
Urad |
4350 |
6600 |
6950 |
4592 |
350 |
51 |
|
Groundnut |
4000 |
5850 |
6377 |
4251 |
527 |
50 |
|
Sunflower Seed |
3750 |
6400 |
6760 |
4505 |
360 |
50 |
|
Soybean (Yellow) |
2560 |
4300 |
4600 |
3029 |
300 |
52 |
|
Sesamum |
4600 |
7830 |
8635 |
5755 |
805 |
50 |
|
Nigerseed |
3600 |
7287 |
7734 |
5156 |
447 |
50 |
|
Cotton (Medium Staple) |
3750 |
6080 |
6620 |
4411 |
540 |
50 |
|
Cotton (Long Staple) ^ |
4050 |
6380 |
7020 |
- |
640 |
- |
*Refers to cost which includes all
paid out costs such as those incurred on account of hired human labour, bullock
labour/machine labour, rent paid for leased in land, expenses incurred on use
of material inputs like seeds, fertilizers, manures, irrigation charges,
depreciation on implements and farm buildings, interest on working capital,
diesel/electricity for operation of pump sets etc., miscellaneous expenses and
imputed value of family labour.
^ Cost data are not separately
compiled for Paddy (Grade A), Jowar (Maldandi) and
Cotton (Long staple)
The increase in MSP for Kharif Crops
for Marketing Season 2023-24 is in line with the Union Budget 2018-19
announcement of fixing the MSP at a level of at least 1.5 times of the
All-India weighted average Cost of Production, aiming at reasonably fair
remuneration for the farmers. The expected margin to farmers over their cost of
production are estimated to be highest in case of bajra (82%) followed by tur
(58%), soybean (52%) and urad (51%). For rest of the crops, margin to farmers
over their cost of production is estimated to be at least 50%.
In the recent years, Government has
been promoting the cultivation of crops, other than cereals such as pulses,
oilseeds, and Nutri-cereals/ Shree Anna, by offering a higher MSP for these
crops. Additionally, government has also launched various schemes and
initiatives, such as the Rashtriya Krishi Vikas
Yojana (RKVY), the National Food Security Mission (NFSM), to encourage farmers
to diversify their crops.
As per Third Advance Estimates for
2022-23, total Foodgrain production in the country is
estimated at record 330.5 million tonnes which is higher by14.9 million tonnes
as compared to the previous year 2021-22. This is the highest increase in the
last 5 year.