The highest absolute increase in MSP over the previous year has been recommended for lentils (lentils) as well as rapeseed and mustard (Rs 400 per quintal), followed by gram (Rs 130 per quintal).
The Minimum Support Price (MSP) for Rabi crops was hiked by the Center on 8 September. Wheat grown by maximum farmers during the Rabi agricultural season will now see an increase of Rs 2,015 per quintal i.e. Rs 40 per quintal.
The hike was approved by the Cabinet Committee on Economic Affairs (CCEA), which fixed the prices of all essential crops for the Rabi Marketing Season (RMS) 2022-23.
In case of safflower, there has been an increase of Rs 114 per quintal over the previous year. The support price of barley has been increased by Rs 35 per quintal.
Wheat and rapeseed and mustard (100 per cent each) are estimated to have the highest expected return to farmers on their cost of production, followed by lentils (79 per cent), gram (74 per cent), barley (60 per cent), and safflower. (50 per cent), the government said in a press release.
The MSP of wheat, which has been increased to Rs 2,015 per quintal for this crop year, was Rs 1,975 per quintal in the 2020-21 crop year.
The government said that the production cost of wheat is estimated at Rs 1,008 per quintal.
The increase in MSP for Rabi crops for RMS 2022-23 is in line with the Union Budget 2018-19, which has announced to fix the MSP at a level of at least 1.5 times of the all India weighted average cost of production, which The aim is fair fairness.
Notably, sowing of rabi (winter) crops starts from October immediately after the harvesting of Kharif (summer) crops.
The hike in MSP comes amid farmers’ agitation against the Centre’s agrarian reform laws.