News

Anala Rajkot

Oct 18, 2024

Indian Government Increases MSP for Rabi Crops Brings Joy in Farmers

Indian Government Increases MSP for Rabi Crops Brings Joy in Farmers

What’s Changing for Wheat, Mustard, and Pulses?

India has rolled out significant hikes in the Minimum Support Prices (MSP) for key Rabi crops for the 2025-26 marketing season. Farmers across India can now look forward to better returns, especially for mustard and rapeseed, which saw the highest increase. By boosting MSPs by 2.4% to 7%, the aim is to help farmers earn more and encourage them to grow a diverse range of crops.

MSP Hikes: Mustard and Rapeseed Take the Lead

  • Mustard and rapeseed are getting the biggest bump in this round of MSP changes. Prices increasing by USD 0.714 per kg.
  • Lentils (masur) saw a rise of USD 0.804 per kg, while chana received a smaller but notable increase of USD 0.678 per kg.
  • Wheat, one of India's staple crops, had a modest rise of USD 0.291 per kg.
This increase is pretty important for farmers, especially those focusing on mustard and chana, as these crops play a major role in India’s edible oil and pulses markets. The government hopes these changes will ensure farmers get better prices while helping the country cut down on its dependency on imported oils and pulses.

Breaking Down the Key Crop Changes

  • Wheat, which is grown across vast parts of India during the Rabi season, saw its MSP rise by 6.59%, now standing at USD 0.291 per kg.
  • Barley, interestingly, had the highest MSP hike of 7.03%, bringing its price to USD 0.2376 per kg.
  • On the other hand, safflower's price nudged up by 2.41%, setting its new price at USD 0.7128 per kg.
These increases reflect the government's efforts to make sure farmers can earn decent returns and help diversify the crops they grow. It’s all about giving them the right incentives to try something new or stick to the essentials that they know will pay off.

Pulses: Inflation and Supply Shortages

Pulses have been a bit of a problem area lately, with prices rising due to erratic weather over the past two years. To ease the pressure, the government lifted import restrictions and even promised to buy as many pulses—like tur, urad, and masur—as farmers can sell, provided they register on the procurement portal. Lentils, for instance, now have an MSP of USD 0.804 per kg, a 4.28% rise.

While this is definitely a positive step, the ongoing weather challenges are still a concern for farmers. It makes it a bit tricky for them to fully enjoy the benefits of the increased MSP because they never know what the weather will throw at them next.

Conclusion: What Should Farmers Focus On?

For farmers planning their Rabi season, the government’s MSP hikes offer a great opportunity, particularly for crops like mustard, lentils, and chana. With higher prices, growing these crops could be more rewarding. Farmers should consider increasing their cultivation of these crops to make the most of the higher MSPs, especially as demand for edible oils and pulses continues to rise.





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