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.
On inflationary impact of the MSP hike, Information and Broadcasting Minister Ashwini Vaishnav said, “There is a clear sense of moderation in inflation and the current inflation spike is seasonal. The CACP when it recommends the MSP looks at all relevant factors including CPI.”
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 in 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.
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.
First Published: Oct 16, 2024 12:58 PM IST