Prime Minister Modi Approves Higher Prices for Rabi Crops in 2025-26
The Cabinet Committee on Economic Affairs (CCEA), led by Prime Minister Narendra Modi, has approved an increase in the Minimum Support Prices (MSP) for all mandated Rabi crops for the 2025-26 marketing season. This decision aims to provide better prices for farmers’ produce.
Details of MSP Increase
The highest increase in MSP is for Rapeseed and Mustard, with a rise of Rs 300 per quintal. Lentil (Masur) follows with an increase of Rs 275 per quintal. Other crops such as gram, wheat, safflower, and barley have seen increases of Rs 210, Rs 150, Rs 140, and Rs 130 per quintal, respectively.
Alignment with Union Budget
This increase aligns with the Union Budget 2018-19’s announcement to set MSP at least 1.5 times the all-India weighted average cost of production. The expected margin over the cost of production is 105% for wheat, 98% for rapeseed and mustard, 89% for lentil, 60% for gram and barley, and 50% for safflower.
The increased MSP is expected to ensure fair prices for farmers and encourage crop diversification.
Doubts Revealed
Rabi crops -: Rabi crops are the crops that are sown in winter and harvested in the spring. In India, common Rabi crops include wheat, barley, mustard, and peas.
Minimum Support Prices (MSP) -: Minimum Support Prices (MSP) are the prices at which the government buys crops from farmers. It ensures that farmers get a fair price for their produce, even if the market prices are low.
Cabinet Committee on Economic Affairs -: The Cabinet Committee on Economic Affairs is a group of important ministers in the Indian government. They make decisions on economic policies and issues, like setting prices for crops.
Rapeseed and Mustard -: Rapeseed and Mustard are types of oilseed crops. They are used to produce cooking oil and are important for Indian agriculture.
Union Budget 2018-19 -: The Union Budget 2018-19 was a financial plan presented by the Indian government for that year. It included goals like ensuring farmers get 1.5 times the cost of production for their crops.
Crop diversification -: Crop diversification means growing a variety of crops instead of just one. It helps farmers reduce risks and improve soil health.
