The MSP for the new kharif season was approved in the meeting of the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi
The Union Cabinet on Wednesday raised the minimum support price (MSP) for 14 kharif crops for the 2025-26 marketing season.
NEW DELHI: The Union Cabinet on Wednesday raised the minimum support price (MSP) for 14 kharif crops for the 2025-26 marketing season. The support price for common and A-grade varieties of paddy has been increased by ₹69 per quintal to ₹2,369 and ₹2,389 per quintal, respectively, for the forthcoming kharif season of the 2025-26 crop year (July-June). The government also approved the continuation of the modified interest subvention scheme (MISS) for 2025-26, under which farmers get short-term credit at affordable rates through Kisan credit cards (KCC).
The MSP for the new kharif season was approved in the meeting of the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi.
Briefing media after the Cabinet meeting, Union information and broadcasting minister Ashwini Vaishnaw said, "Two key decisions were taken for the welfare of farmers -- kharif crops MSP and interest subvention scheme."
“In the last 10-11 years, there has been a "massive" increase in the support price of 14 kharif crops in line with the recommendation of the Commission for Agricultural Costs and Prices,” the minister said.
The announcement comes amid the Southwest monsoon reaching earlier than usual, giving a boost to the sowing of kharif crops, which contribute over 50 per cent of India's total annual foodgrain production.
Among other cereals, the support price of ragi has been raised by ₹596 to ₹4,886 per quintal, jowar by ₹328 to ₹3,699 per quintal (hybrid) and ₹3,749 per quintal (Maldani), maize by ₹175 to ₹2,400 per quintal and bajra by ₹150 to ₹2,775 per quintal for 2025-26.
Pulses MSP has been increased by up to 5.96 per cent, while that of oilseeds by up to 9 per cent from over the previous year to boost domestic production and reduce import dependency.
The support price for tur has been increased by ₹450 to ₹8,000 per quintal, urad by ₹400 to ₹7,400 per quintal and moong by ₹86 to ₹8,768 per quintal for the said period.
Groundnut MSP has been raised by ₹480 to ₹7,263 per quintal, soyabean by ₹436 to ₹5,329 per quintal and sunflower seeds by ₹441 to ₹7,721 per quintal for the 2025-26 kharif marketing season.
Sesamum's support rate has been increased by ₹579 per quintal to ₹9,846, while that of nigerseed by ₹820 per quintal to ₹9,537 for 2025-26.
Among cash crops, cotton MSP has been increased by ₹589 per quintal each to ₹7,710 (medium staple) and ₹8,110 (long staple), respectively, for 2025-26.
"The expected margin to farmers over their cost of production is estimated to be highest in the case of bajra (63 per cent), followed by maize (59 per cent), tur (59 per cent) and urad (53 per cent). For the rest of the crops, the margin to farmers over their cost of production is estimated to be at 50 per cent," the minister said.
Regarding the continuation of MISS for fiscal year 2025-26 with the existing 1.5 per cent interest subvention, Mr Vaishnaw said the continuation of the scheme will cost the exchequer ₹15,640 crores.
The MSP for the new kharif season was approved in the meeting of the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi.
Briefing media after the Cabinet meeting, Union information and broadcasting minister Ashwini Vaishnaw said, "Two key decisions were taken for the welfare of farmers -- kharif crops MSP and interest subvention scheme."
“In the last 10-11 years, there has been a "massive" increase in the support price of 14 kharif crops in line with the recommendation of the Commission for Agricultural Costs and Prices,” the minister said.
The announcement comes amid the Southwest monsoon reaching earlier than usual, giving a boost to the sowing of kharif crops, which contribute over 50 per cent of India's total annual foodgrain production.
Among other cereals, the support price of ragi has been raised by ₹596 to ₹4,886 per quintal, jowar by ₹328 to ₹3,699 per quintal (hybrid) and ₹3,749 per quintal (Maldani), maize by ₹175 to ₹2,400 per quintal and bajra by ₹150 to ₹2,775 per quintal for 2025-26.
Pulses MSP has been increased by up to 5.96 per cent, while that of oilseeds by up to 9 per cent from over the previous year to boost domestic production and reduce import dependency.
The support price for tur has been increased by ₹450 to ₹8,000 per quintal, urad by ₹400 to ₹7,400 per quintal and moong by ₹86 to ₹8,768 per quintal for the said period.
Groundnut MSP has been raised by ₹480 to ₹7,263 per quintal, soyabean by ₹436 to ₹5,329 per quintal and sunflower seeds by ₹441 to ₹7,721 per quintal for the 2025-26 kharif marketing season.
Sesamum's support rate has been increased by ₹579 per quintal to ₹9,846, while that of nigerseed by ₹820 per quintal to ₹9,537 for 2025-26.
Among cash crops, cotton MSP has been increased by ₹589 per quintal each to ₹7,710 (medium staple) and ₹8,110 (long staple), respectively, for 2025-26.
"The expected margin to farmers over their cost of production is estimated to be highest in the case of bajra (63 per cent), followed by maize (59 per cent), tur (59 per cent) and urad (53 per cent). For the rest of the crops, the margin to farmers over their cost of production is estimated to be at 50 per cent," the minister said.
Regarding the continuation of MISS for fiscal year 2025-26 with the existing 1.5 per cent interest subvention, Mr Vaishnaw said the continuation of the scheme will cost the exchequer ₹15,640 crores.
The MISS is a Central Sector Scheme aimed at ensuring the availability of short-term credit to farmers at an affordable interest rate through KCC.
Under MISS, farmers get short-term loans of up to ₹3 lakhs through KCC at a subsidised interest rate of 7 per cent, with 1.5 per cent interest subvention provided to eligible lending institutions.
Additionally, farmers repaying loans promptly are eligible for an incentive of up to 3 per cent as a prompt repayment incentive (PRI), effectively reducing their interest rate on KCC loans to 4 per cent. For loans taken exclusively for animal husbandry or fisheries, the interest benefit is applicable up to ₹2 lakhs.
( Source : Deccan Chronicle )
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