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2018-12-13

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Indian Economy
www.pib.nic.in

Ministry of Agriculture & Farmers Welfare

Increase in MSP

Posted On: 12 DEC 2018 12:03PM by PIB Delhi

Government fixes Minimum Support Prices (MSPs) of 22 mandated Kharif and Rabi crops and Fair & Remunerative Prices (FRP) for Sugarcane on the basis of recommendations of Commission for Agricultural Costs & Prices (CACP), after considering the views of State Governments and Central Ministries/Departments concerned & other relevant factors. In addition, MSP for Toria and De-Husked coconut is also fixed on the basis of MSPs of Rapeseed/Mustard and Copra respectively.

Government generally increases the MSPs of all notified crops which provide adequate return over cost of production. Government has increased MSPs substantially for all mandated crops for the season 2018-19. This decision of the Government was a historic one as it fulfills the commitment to the farmers to provide 50 per cent return over cost of production for the first time for all mandated crops. Details of MSP, cost and percent return over cost for 2016-17, 2017-18 & 2018-19 is given at Annexure.

 

While recommending MSPs, CACP considers a host of factors including all India weighted average cost of production of crops. The costs considered are comprehensive and include 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 in cash and kind 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. The MSPs fixed by Government for most of the crops provide atleast a return of 50 per cent over cost of production for the year 2018-19.

 

Annexure

 

Annexure referred to in reply to part (a) of Lok Sabha Unstarred Question No.227 due for reply on 11.12.2018.

 

        Cost*, Minimum Support Price (MSP) and percent return over cost                    (Rs/quintal)

Sl. No.

Commodity

2016-17

2017-18

2018-19

KHARIF  CROPS

Cost

MSP

% Return over cost

Cost

MSP

% Return over cost

Cost

MSP

% Return over cost

1

PADDY(Common)

1045

1470

40.7

1117

1550

38.8

1166

1750

50.1

                     

 

             (Grade A) ^

 

1510

 

 

1590

 

 

1770

 

2

JOWAR (Hybrid)

1501

1625

8.3

1556

1700

9.3

1619

2430

50.1

 

             (Maldandi) ^

 

1650

 

 

1725

 

 

2450

 

3

BAJRA

925

1330

43.8

949

1425

50.2

990

1950

97.0

4

MAIZE

966

1365

41.3

1044

1425

36.5

1131

1700

50.3

5

RAGI

1733

1725

-0.5

1861

1900

2.1

1931

2897

50.0

6

ARHAR(Tur)

3241

5050

55.8

3318

5450

64.3

3432

5675

65.4

7

MOONG

4065

5225

28.5

4286

5575

30.1

4650

6975

50.0

8

URAD

3584

5000

39.5

3265

5400

65.4

3438

5600

62.9

9

COTTON (Medium Staple) 

2889

3860

33.6

3276

4020

22.7

3433

5150

50.0

 

              (Long Staple) ^

 

4160

 

 

4320

 

 

5450

 

10

GROUNDNUT IN SHELL

3371

4220

25.2

3159

4450

40.9

3260

4890

50.0

11

SUNFLOWER SEED

3479

3950

13.5

3481

4100

17.8

3592

5388

50.0

12

SOYABEEN

1852

2775

49.8

2121

3050

43.8

2266

3399

50.0

13

SESAMUM

4188

5000

19.4

4067

5300

30.3

4166

6249

50.0

14

NIGERSEED

3366

3825

13.6

3912

4050

3.5

3918

5877

50.0

 

RABI CROPS

 

 

 

 

 

 

 

 

 

1

WHEAT

797

1625

103.9

817

1735

112.4

866

1840

112.5

2

BARLEY

816

1325

62.4

845

1410

66.9

860

1440

67.4

3

GRAM

2241

4000

78.5

2461

4400

78.8

2637

4620

75.2

4

MASUR (LENTIL)

2174

3950

81.7

2366

4250

79.6

2532

4475

76.7

5

RAPESEED/MUSTARD

1871

3700

97.8

2123

4000

88.4

2212

4200

89.9

6

SAFFLOWER

3049

3700

21.4

3125

4100

31.2

3294

4945

50.1

7

TORIA ^

 

3560

 

 

3900

 

 

4190

 

 

OTHER CROPS

 

 

 

 

 

 

 

 

 

1

COPRA (Milling)

4676

5950

27.2

4758

6500

36.6

5007

7511

50.0

 

               (Ball)^

 

6240

 

 

6785

42.6

 

7750

 

2

DE-HUSKED COCONUT ^

 

1600

 

 

1760

 

 

2030

 

3

JUTE

2125

3200

50.6

2160

3500

62.0

2267

3700

63.2

4

SUGARCANE

140

230

64.3

152

255

67.8

155

275

77.4

 

 * 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.

^ Cost data are not separately compiled for Paddy(Grade A), Jowar (Maldandi), Cotton (Long staple), Toria, Copra(ball) and De-husked coconut.

 

 

This information was given by Minister of State for Ministry of Agriculture & Farmers Welfare Shri Gajendra Singh Shekhawat.

 

*****

APS/RCS



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