In a bid to increase the farmers' income, the Union Cabinet on Wednesday approved an increase in minimum support prices (MSP) for various kharif crops or the summer-sown crops for marketing season 2021-22.
The Centre has hiked paddy MSP by ₹72 to ₹1,940 per quintal for 2021-22 crop year from ₹1,868 per quintal last year.
The highest absolute increase in MSP over the previous year has been recommended for sesamum ( ₹452 per quintal) followed by tur and urad ( ₹300 per quintal each).
In the case of groundnut and nigerseed, there has been an increase of ₹275 per quintal and ₹235 per quintal, respectively, in comparison to last year. The differential remuneration is aimed at encouraging crop diversification, an official release said.
The decision was announced by Union Agriculture Minister Narendra Singh Tomar after the meeting of the Cabinet Committee on Economic Affairs (CCEA), headed by Prime Minister Narendra Modi.
Addressing a press briefing on Cabinet decisions, Tomar said, "None should have any misconception about MSP; it's continuing and increasing and it will continue."
"We had assured the Parliament that MSP will continue," the Union Agriculture Minister added.
MSPs for all Kharif crops for marketing season 2021-22 are:
On the ongoing stir again the farm laws, Tomar said, "We are ready to hold talks with the farmers, if they can come out with any suggestion."
The Centre and unions have held 11 rounds of talks, the last being on 22 January, to break the deadlock and end the farmers' protest. Talks have not resumed following widespread violence during a tractor parade by protesting farmers on Republic Day.
MSP is the rate at which the government buys grains from the farmers.
The increase in MSP for Kharif Crops for marketing season 2021-22 is in line with the Union Budget 2018-19 announcement of fixing the MSPs at a level of at least 1.5 times of the All-India weighted average Cost of Production (CoP), aiming at reasonably fair remuneration for the farmers, the government said in a statement.
The expected returns to farmers over their cost of production are estimated to be highest in case of Bajra (85%) followed by urad (65%) and tur (62%). For rest of the crops, return to farmers over their cost of production is estimated to be at least 50%, it added.
Earlier today, the Union Cabinet, led by PM Modi, had a meeting via video conference.
The Cabinet has also approved the allocation of 5MHz 4G spectrum for Railways to upgrade communication, signalling system, Union Minister Prakash Javadekar said.
