The Union cabinet has approved the proposal of increasing the Minimum Support Price (MSP) for Kharif crops by 1.5 times the cost. According to report, the MSP for paddy has been increased by around Rs 250 per quintal.
Breaking News: Govt Approves Hike In Minimum Support Prices (MSP) For Kharif Crops
*Paddy MSP Hiked By Rs 250/Quintal@szarabi @MuralidharSwami pic.twitter.com/pxibi64YyL
— BTVI Live (@BTVI) July 4, 2018
Prime Minister Modi had announced recently that the government is soon going to increase the MSP for Kharif crops to 150% of the cost of production. It was announced during the union budget and was among one of the several major steps planned by the BJP-led government.
Yesterday, it was reported by many media outlets that the PM is holding a high-level meeting to discuss the hike and other major issues. PM Modi reportedly took stock of the procurement data of all the crops on which the MSP was planned to be hiked. The NITI Ayog and the Ministry of Agriculture representatives were there to update the PM on the economic impact and operation and execution of the MSP increase.
The MSP for several crops including rice, sunflower seeds, millets, groundnuts and pulses have been significantly increased.
Cabinet approves proposal to increase #MSP for Kharif crops for the year 2018-19 pic.twitter.com/HqihUrbD0g
— CNBC-TV18 (@CNBCTV18Live) July 4, 2018
According to reports, fine paddy and common paddy have seen an MSP hike of 11.3% and 12.9% respectively while Jowar, bajra and ragi will get the MSP hike of 40.9%, 36.8% and 52.5% respectively. Oil seeds like soybeans, sesame and groundnut are to get an MSP increased by 11.4%,17.9% and 9.9% respectively.
Sunflower seeds’ MSP got a 31.4% hike while Moong farmers will get a 25.1% increase in MSP. Maize farmers will be getting MSP increased by 19.3% while Tur and Urad dal crops will be given an MSP hiked by 4.1% and 3.7% respectively. 2 varieties of cotton staples, long and medium are to get an increased MSP of 26.1% and 28.1% respectively.
The Prime Minister has been very keen on schemes and reforms in the farm sector. He has asserted on many occasions that his government is dedicated to achieving the target of doubling farmer’s income by 2022.
The proposed 150% MSP is expected to help paddy, pulses and other major crops like millet the most. This will ensure a minimum 50% profit margin for the farmers. MSP for several crops like cotton, sesame, sunflower seed, groundnut etc has been raised significantly by the cabinet’s decision.
According to reports, the rise in MSP is estimated to cost about Rs 33,500 crores. The share of paddy alone in the extra cost is estimated to be Rs 12,300 crores.
PM Modi has time and again assured farmers in the country that the government will support them whole-heartedly. “Beej se le ke bazaar tak” has been his slogan for his government’s commitment to farmers.