Govt raises paddy MSP by Rs 117 to Rs 2,300
NEW DELHI: The government on Wednesday raised the minimum support price (MSP) for paddy by 5.35 per cent to Rs 2,300 per quintal for the 2024-25 kharif marketing season, a move ahead of key state assembly polls.
The Rs 117 per quintal hike in paddy support price comes despite the government grappling with massive rice surpluses but it is significant ahead of elections in states like Haryana, Maharashtra, Jharkhand, and Delhi.
The MSP increase in the 14 kharif (summer) crops is the first major decision of Prime Minister Narendra Modi’s third term in office and shows the government’s clear policy to keep support prices at least 1.5 times the cost of production, Information, and Broadcasting Minister Ashwini Vaishnaw said. Announcing the MSP increase, Vaishnaw said the Cabinet has approved the minimum support prices for 14 kharif crops based on recommendations from the Commission for Agricultural Costs and Prices (CACP).
The total financial implication from the MSP hike is estimated at Rs 2,00,000 crore, about Rs 35,000 crore higher than the previous season, significantly boosting farmers’ income, the minister said.
The MSP for ‘common’ grade paddy has been raised by Rs 117 to Rs 2,300 per quintal, while for the ‘A’ grade variety, it has been hiked to Rs 2,320 per quintal for the upcoming Kharif season, Vaishnaw told reporters. The MSP for ‘hybrid’ grade jowar has been raised by Rs 191 to Rs 3,371 per quintal, while for the ‘Maldani’ variety, it has been hiked by Rs 196 to Rs 3,421 per quintal.