Modi government raises minimum support price (MSP) for 6 Rabi crops for crop year 2022-23

According to a government release, the Centre raised the minimum support price (MSP) for wheat by Rs 110 to Rs 2,125 per quintal and mustard by Rs 400 to Rs 5,450 per quintal for the current crop year to boost farmer production and income.

The decision to raise the MSPs (minimum support prices) of six rabi crops was made at a meeting of the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi, according to the report.

The Centre increased the minimum support price (MSP) for wheat by Rs 110 to Rs 2,125 per quintal and mustard by Rs 400 to Rs 5,450 per quintal for the current crop year, according to a government release, in order to boost farmer production and income.

According to the report, the decision to hike the MSPs (minimum support prices) of six rabi crops was rendered at a meeting of the Cabinet Committee on Economic Affairs (CCEA) headed by Prime Minister Narendra Modi.

The highest MSP increase has been approved for lentil (Masur) by Rs 500 per quintal, followed by rapeseed and mustard by Rs 400 per quintal, according to the statement. Wheat MSP has been increased by Rs 110 to Rs 2,125 per quintal for this crop year, up from Rs 2,015 in 2021-22. According to the release, the cost of producing wheat is estimated to be Rs 1,065 per quintal.

Anurag Thakur, Minister of Information and Broadcasting, stated that the government has guaranteed a 100% return on investment in wheat and mustard. He added that in the other four rabi crops, the return on investment is between 50 and 85 percent. 

When asked if the increase in rabi crop MSP would cause food inflation, he said India's inflation is under control in comparison to other countries.

The barley support price was raised by Rs 100 to Rs 1,735 per quintal for the 2022-23 crop year, up from Rs 1,635 per quintal the previous year. The MSP for gramme has been raised by Rs 105 to Rs 5,335 per quintal, up from Rs 5,230 per quintal, while the MSP for lentil (Masur) has been raised by Rs 500 to Rs 6,000 per quintal, up from Rs 5,500 per quintal.

In the case of oilseeds, the MSP for mustard seed has been increased by Rs 400 to Rs 5,450 per quintal for the 2022-23 crop year, up from Rs 5,050 per quintal the previous year. The MSP for safflower has been increased by Rs 209 to Rs 5,650 per quintal, up from Rs 5,441 per quintal previously.