Cabinet approves Minimum Support Prices (MSP) for Kharif Crops for Marketing Season 2024-25
Cabinet approves Minimum Support Prices (MSP) for Kharif Crops for Marketing Season 2024-25
The Union Cabinet chaired by Prime Minister Shri Narendra Modi today approved the increase in the Minimum Support Prices (MSP) for all mandated Kharif Crops for Marketing Season 2024-25.
Government has increased the MSP of Kharif Crops for Marketing Season 2024-25, to ensure remunerative prices to the growers for their produce. The highest absolute increase in MSP over the previous year has been recommended for oilseeds and pulses viz. nigerseed (Rs.983/- per quintal) followed by sesamum (Rs.632/- per quintal) and tur/arhar (Rs.550/- per quintal).
Minimum Support Prices for all Kharif crops for Marketing Season 2024-25
Rs. per quintal
Crops
MSP
2024-25
Cost* KMS
2024-25
Margin over
cost (%)
MSP
2023-24
MSP Increase
in 2024-25
over 2023-24
Cereals
Paddy
Common
2300
1533
50
2183
117
Grade A^
2320
–
–
2203
117
Jowar
Hybrid
3371
2247
50
3180
191
Maldandi”
3421
–
–
3225
196
Bajra
2625
1485
77
2500
125
Ragi
4290
2860
50
3846
444
Maize
2225
1447
54
2090
135
Pulses
Tur /Arhar
7550
4761
59
7000
550
Moong
8682
5788
50
8558
124
Crops
MSP
2024-25
Cost* KMS
2024-25
Margin over
cost (%)
MSP
2023-24
MSP Increase
in 2024-25
over 2023-24
Urad
7400
4883
52
6950
450
Oilseeds
Groundnut
6783
4522
50
6377
406
Sunflower Seed
7280
4853
50
6760
520
Soybean (Yellow)
4892
3261
50
4600
292
Sesamum
9267
6178
50
8635
632
Nigerseed
8717
5811
50
7734
983
Commercial
Cotton
(Medium Staple)
7121
4747
50
6620
501
(Long Stapler
7521
–
–
7020
501
*Refers to cost which includes all paid out costs such as those incurred on account of hired human labour, bullock labour/machine labour, rent paid for leased in land, expenses incurred on use of material inputs like seeds, fertilizers, manures, irrigation charges, depreciation on implements and farm buildings, interest on working capital, diesel/electricity for operation of pump sets etc., miscellaneous expenses and imputed value of family labour.
A Cost data are not separately compiled for Paddy (Grade A), Jowar (Maldandi) and Cotton (Long staple)
The increase in MSP for Kharif Crops for Marketing Season 2024-25 is in line with the Union Budget 2018-19 announcement of fixing the MSP at a level of at least 1.5 times of the All-India weighted average cost of production, The expected margin to farmers over their cost of production are estimated to be highest in case of bajra (77%) followed by tur (59%), maize (54%) and urad (52%). For rest of the crops, margin to farmers over their cost of production is estimated to be at 50%.
In the recent years, Government has been promoting the cultivation of crops, other than cereals such as pulses and oilseeds, and Nutri-cereals/ Shree Anna, by offering a higher MSP for these crops.
During the period 2003-04 to 2013-14 for 14 crops covered under Kharif Marketing Season, the minimum absolute increase in MSP was Rs.745/- per quintal for Bajra and maximum absolute increase was Rs.3,130/- per quintal for Moong while during the period 2013-14 to 2023-24, the minimum absolute increase in MSP was Rs.780/- per quintal for Maize and maximum absolute increase was Rs.4,234/- per quintal for Nigerseed. Details are at Annexure-I.
During the period 2004-05 to 2013-14, the procurement of 14 crops covered under Kharif Marketing Season was 4,675.98 Lakhs Metric Ton (LMT) while during the period 2014-15 to 2023-24, procurement of these crops was 7,108.65 LMT. The year-wise details are at Annexure-II.
As per the 3rd Advance Estimates of production for 2023-24, total foodgrain production in the country is estimated at 3288.6 Lakhs Metric Ton (LMT), and oilseeds production is touching 395.9 LMT. During 2023-24, kharif production of rice, pulses, oilseeds and nutri-cereals/Shree Anna and cotton is estimated to be 1143.7 LMT, 68.6 LMT, 241.2 LMT, 130.3 LMT and 325.2 Lakh bales, respectively.
Annexure-I Rs.per quintal
Crops
MSP
2003-04
MSP
2013-14
MSP
2023-24
. .
Increase in
MSP in
2013-14
over 2003-
04
. .
Increase in
MSP in
over 2023-24 over
2013-14
Cereals
A
B
C
D=B-A
E=C-B
Paddy
Common
550
1310
2183
760
873
Grade A^
580
1345
2203
765
858
Jowar
Hybrid
505
1500
3180
995
1680
MaldandiA
–
1520
3225
1705
Bajra
505
1250
2500
745
1250
Ragi
505
1500
3846
995
2346
Maize
505
1310
2090
805
780
Pulses
Tur /Arhar
1360
4300
7000
2940
2700
Moong
1370
4500
8558
3130
4058
Urad
1370
4300
6950
2930
2650
Oilseeds
Groundnut
1400
4000
6377
2600
2377
Sunflower Seed
1250
3700
6760
2450
3060
Soybean (Yellow)
930
2560
4600
1630
2040
Sesamum
1485
4500
8635
3015
4135
Nigerseed
1155
3500
7734
2345
4234
Commercial
Cotton
(Medium
Staple)
1725
3700
6620
1975
2920
(Long Staple)”
1925
4000
7020
2075
3020
Annexure-II
Procurement of Kharif Crops 2004-05 to 2013-14 and 2014-15 to
2023-24
In LMT
Crops
2004-05 to 2013-14
2014-15 to 2023-24
Cereals
A
B
Paddy
4,590.39
6,914.98
Jowar
1.92
5.64
Bajra
5.97
14.09
Ragi
0.92
21.31
Maize
36.94
8.20
Pulses
Tur /Arhar
0.60
19.55
Moong
0.00
1
Urad
0.86
8.75
Oilseeds
Groundnut
3.45
32.28
Sunflower Seed
0.28
Soybean (Yellow)
0.01
1.10
Sesamum
0.05
0.03
Nigerseed
0.00
0.00
Commercial
Cotton
34.59
63.41
Total
4,675.98
7,108.65