Government of India announces Minimum Support Prices (MSP) for different crops

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Government of India announces Minimum Support Prices (MSP) for 22 major agricultural commodities of Fair Average Quality (FAQ) each year in both the Crop seasons after taking into account the recommendations of the Commission for Agricultural Costs and Prices (CACP). In addition, MSP for toria and de-husked coconut is also fixed on the basis of MSPs of rapeseed & mustard and copra respectively. Government also extends remunerative price to farmers through its various interventions schemes. Besides, the overall market also responds to declaration of MSP and Government’s procurement operations which results in private procurement on or above the MSP for various notified crops.

Minimum Support Prices
Minimum Support Prices

Government extends price support for paddy and wheat through the Food Corporation of India (FCI) and State Agencies. Under this policy, whatever food grains are offered by farmers within the stipulated period & conforming to the specifications prescribed by Government are purchased at Minimum Support Price (MSP) by the State Government agencies including FCI for Central Pool. It aims to service the National Food Security Act (NFSA) and other welfare schemes of the Government so that subsidized food grains are supplied to the poor and needy, and to build up buffer stocks of food grains to ensure food grain security.

Further, different types of nutri-cereals and maize are procured by State Governments itself in consultation with FCI to the extent that the concerned State Government may utilise the same for distribution under Targeted Public Distribution System (TPDS) as well as Other Welfare Schemes (OWS).

Oilseeds, pulses and copra of Fair Average Quality (FAQ) are procured from registered farmers under Price Support Scheme under Umbrella Scheme of Pradhan Mantri Annadata Aay SanraksHan Abhiyan (PM-AASHA), as per its prescribed guidelines. Under PM-AASHA, States / UTs are offered to choose either Price Support Scheme (PSS) or Price Deficiency Payment Scheme (PDPS) in a given procurement season with respect to particular oilseeds crop for the entire State. Further, States have the option to roll out Private Procurement and Stockist Scheme (PPSS) on pilot basis in district / selected APMC(s) of district involving the participation of private stockist for oilseeds. Cotton and Jute are also procured by Government at MSP through Cotton Corporation of India (CCI) and Jute Corporation of India (JCI).

For making effective procurement by government agencies, procurement centers are opened by respective State Government Agencies and Central Nodal Agencies like NAFED, FCI etc after taking into account the production, marketable surplus, convenience of farmers and availability of other logistics/ infrastructure such as storage and transportation etc. large number of the purchase centers in addition to the existing mandis and depots/godowns are also established at key points for the convenience of farmers.

(d) : The MSP for the crops in the last five years, crop-wise, year-wise and amount increased each year compared to the preceding year is at Annexure-I.

Annexure –I to PQ 331

Minimum Support Prices

(According to crop year) (Rs. per quintal)
Sl. No. Commodity Variety 2017-18 2018-19 Increase in MSP 2018-19 over 2017-18 2019-20 Increase in MSP 2019-20 over 2018-19 2020-21 Increase in MSP 2020-21 over 2019-20 2021-22 Increase in MSP 2021-22 over 2020-21
Kharif Crops
1 Paddy Common 1550 1750 200 1815 65 1868 53 1940 72
Grade ‘A’ 1590 1770 180 1835 65 1888 53 1960 72
2 Jowar Hybrid 1700 2430 730 2550 120 2620 70 2738 118
Maldandi 1725 2450 725 2570 120 2640 70 2758 118
3 Bajra 1425 1950 525 2000 50 2150 150 2250 100
4 Ragi 1900 2897 997 3150 253 3295 145 3377 82
5 Maize 1425 1700 275 1760 60 1850 90 1870 20
6 Tur (Arhar) 5450^ 5675 225 5800 125 6000 200 6300 300
7 Moong 5575^ 6975 1400 7050 75 7196 146 7275 79
8 Urad 5400^ 5600 200 5700 100 6000 300 6300 300
9 Groundnut 4450^ 4890 440 5090 200 5275 185 5550 275
10 Sunflower seed 4100* 5388 1288 5650 262 5885 235 6015 130
11 Soyabeen (yellow) 3050^ 3399 349 3710 311 3880 170 3950 70
12 Sesamum 5300* 6249 949 6485 236 6855 370 7307 452
13 Nigerseed 4050* 5877 1827 5940 63 6695 755 6930 235
14 Cotton Medium staple 4020 5150 1130 5255 105 5515 260 5726 211
Long staple 4320 5450 1130 5550 100 5825 275 6025 200
Sl. No. Commodity Variety 2017-18 2018-19 Increase in MSP 2018-19 over 2017-18 2019-20 Increase in MSP 2019-20 over 2018-19 2020-21 Increase in MSP 2020-21 over 2019-20 2021-22 Increase in MSP 2021-22 over 2020-21
Rabi Crops
15 Wheat 1735 1840 105 1925 85 1975 50 2015 40
16 Barley 1410 1440 30 1525 85 1600 75 1635 35
17 Gram 4400@ 4620 220 4875 255 5100 225 5230 130
18 Masur (lentil) 4250* 4475 225 4800 325 5100 300 5500 400
19 Rapeseed & Mustard 4000* 4200 200 4425 225 4650 225 5050 400
20 Safflower 4100* 4945 845 5215 270 5327 112 5441 114
21 Toria 3900 4190 290 4425 235 4650 225 5050 400
Other Crops
22 Copra (calender year) Milling 6500 7511 1011 9521 2010 9960 439 10335 375
Ball 6785 7750 965 9920 2170 10300 380 10600 300
23 De-husked coconut  (calender year) 1760 2030 270 2571 541 2700 129 2800 100
24 Jute 3500 3700 200 3950 250 4225 275 4500 275
* Including Bonus of Rs. 100 per quintal.
^ Including Bonus of Rs. 200 per quintal.
@ Including Bonus of Rs. 150 per quintal

This information was given by Union Minister of Agriculture and Farmers Welfare Narendra Singh Tomar in a written reply in Rajya Sabha today.

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