In a significant boost for farmers just before Diwali, the Central Government has approved an increase in the Minimum Support Price (MSP) for key rabi crops. The announcement was made by Union Minister Ashwini Vaishnaw following a cabinet meeting on Wednesday.
The MSP for wheat will rise by ₹150 per quintal, increasing from ₹2,275 to ₹2,425. Mustard will see an increase of ₹300, raising its MSP to ₹5,950 per quintal, while the MSP for gram will increase by ₹210 to ₹5,650 per quintal.
This MSP hike comes at a crucial time, ahead of elections in states like Maharashtra, Jharkhand, and Delhi. The rabi marketing season is set to begin in April 2025.
The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, approved the increase in MSP for six mandated rabi crops for the 2025-26 marketing season, with hikes ranging from ₹130 to ₹300 per quintal.
Specifically, the support price for wheat is now ₹2,425 per quintal for the 2025-26 season, compared to ₹2,275 the previous year. To enhance domestic production of oilseeds, the support price for rapeseed/mustard seed has been raised by ₹300 to ₹5,950 per quintal. Additionally, the support price for safflower will increase by ₹140 to ₹5,940 per quintal.
For pulses, the support price for lentils (masur) has increased by ₹275 to ₹6,700 per quintal, while the MSP for gram has risen by ₹210 to ₹5,650. The support price for barley has also been raised by ₹130 to ₹1,980 per quintal.
This increase aligns with the Union Budget 2018-19 announcement to set MSP at a level of at least 1.5 times the All-India weighted average cost of production. The expected margins over the All-India weighted average cost of production are projected to be 105% for wheat, 98% for rapeseed and mustard, 89% for lentils, 60% for gram, 60% for barley, and 50% for safflower.
The increased MSP for rabi crops aims to ensure remunerative prices for farmers and encourage crop diversification, according to the minister.
