Context
The Union Cabinet approved an increase in Minimum Support Prices (MSP) for six major Rabi crops for the 2025–26 marketing season. This step aims to ensure remunerative prices to farmers and promote Atmanirbharta (self-reliance) in pulses through a dedicated mission with an outlay exceeding ₹11,000 crore.
Key Highlights
- MSP Revision:
The government approved MSP hikes for wheat, barley, gram, lentil (masur), rapeseed & mustard, and safflower for Rabi Marketing Season (RMS) 2026–27. - Wheat:
- MSP increased by ₹160 per quintal, now at ₹2,325 per quintal.
- Production target: 119 million tonnes for crop year 2025–26.
- Other Crops:
- Barley: ₹2,150 per quintal → ₹170 rise (≈ 8.58% increase).
- Gram (Chana): ₹5,880 per quintal → ₹105 rise.
- Lentil (Masur): ₹7,200 per quintal → ₹400 rise (highest hike among pulses).
- Rapeseed & Mustard: ₹6,260 per quintal → ₹250 rise.
- Safflower: ₹6,540 per quintal → ₹600 rise (highest absolute increase).
- Mission for Atmanirbharta in Pulses:
- New initiative launched with a total outlay of ₹11,400 crore.
- Objective: Enhance domestic production of tur, urad, and masur, reducing import dependency.
- To be implemented during 2025–26 to 2029–30 under the Department of Agriculture & Farmers Welfare.
Economic & Policy Significance
- The MSP hike aligns with the CACP (Commission for Agricultural Costs and Prices) recommendation of ensuring minimum 50% return over cost (A2+FL).
- Supports the government’s food security goals and aims to stabilize rural incomes.
- Encourages crop diversification towards pulses and oilseeds to address nutritional security and reduce import bills.