As part of its ongoing procurement efforts, the government has disbursed ₹65,695 crore to farmers for Paddy procurement up to December 1, 2024.
“The Government has fixed Minimum Support Price (MSP) for Paddy (Common) and Paddy (Grade-A) for Kharif Marketing Season (KMS) 2024-25 at ₹ 2300 per quintal and ₹ 2320 per quintal respectively. During KMS 2024-25, the MSP amount paid to the farmers for Paddy procurement (up to 01.12.2024) is ₹65,695 crore,” the government said.
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In October this year, the Union Cabinet approved the minimum support price (MSP) for six rabi crops. The MSP for wheat increased by ₹150 per quintal, from ₹2,275 to ₹2,425.
The MSP for mustard is increased by ₹300 to ₹5,950, and chana by ₹210 to ₹5,650, the sources said. The Cabinet decided to hike the MSP for barley by ₹130 per quintal to ₹1,980, lentil by ₹275 to ₹6700 and safflower by ₹140 to ₹5940.
MSP is a remunerative price to help farmers with adequate returns for their produce. In simple words, MSP is a shield that protects farmers from sudden dip in prices. Thus, it is conducive to maintaining food security and provides a base for price discovery in the market. This gives financial stability to the agriculture system and encourages better production.
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The Commission for Agricultural Costs & Prices (CACP) recommends MSP for 22 crops before the sowing period each year. There are 14 Kharif crops and seven Rabi crops covered under MSP.
