New Delhi: The Union Cabinet on Wednesday approved a hike in Minimum Support Price (MSP) for various Kharif (summer) crops for the year 2022-23, announced Union Minister Anurag Thakur.
The MSP of Kharif crops for the 2022-23 crop year will now increase. The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, has approved an increase in MSP for all mandated Kharif crops for the 2022-23 crop year.
| Crop |
MSP 2014-15 |
MSP 2021-22 | MSP 2022-23 | Cost* of production 2022-23 | Increase in MSP (Absolute) | Return over cost (in per cent) | |
| Paddy (Common) | 1360 | 1940 | 2040 | 1360 | 100 | 50 | |
| Paddy (Grade A)^ | 1400 | 1960 | 2060 | – | 100 | – | |
| Jowar (Hybrid) | 1530 | 2738 | 2970 | 1977 | 232 | 50 | |
| Jowar (Maldandi)^ | 1550 | 2758 | 2990 | – | 232 | – | |
| Bajra | 1250 | 2250 | 2350 | 1268 | 100 | 85 | |
| Ragi | 1550 | 3377 | 3578 | 2385 | 201 | 50 | |
| Maize | 1310 | 1870 | 1962 | 1308 | 92 | 50 | |
| Tur (Arhar) | 4350 | 6300 | 6600 | 4131 | 300 | 60 | |
| Moong | 4600 | 7275 | 7755 | 5167 | 480 | 50 | |
| Urad | 4350 | 6300 | 6600 | 4155 | 300 | 59 | |
| Groundnut | 4000 | 5550 | 5850 | 3873 | 300 | 51 | |
| Sunflower Seed | 3750 | 6015 | 6400 | 4113 | 385 | 56 | |
| Soyabean (yellow) | 2560 | 3950 | 4300 | 2805 | 350 | 53 | |
| Sesamum | 4600 | 7307 | 7830 | 5220 | 523 | 50 | |
| Nigerseed | 3600 | 6930 | 7287 | 4858 | 357 | 50 | |
| Cotton (Medium Staple) | 3750 | 5726 | 6080 | 4053 | 354 | 50 | |
| Cotton (Long Staple)^ | 4050 | 6025 | 6380 | – | 355 | – |
The increase in MSP for Kharif Crops for Marketing Season 2022-23 is in line with the Union Budget 2018-19 announcement of fixing the MSP at a level of at least 50 percent over the All-India weighted average Cost of Production, aiming at reasonably fair remuneration for the farmers.
It is notable that, return over MSP for bajra, tur, urad sunflower seed, soybean and groundnut is more than 50 percent over the All-India weighted average Cost of Production at 85%, 60%, 59%, 56% , 53% and 51% respectively.
Concerted efforts have been made over the last few years to realign the MSP in favour of oilseeds, pulses and coarse cereals to encourage farmers to shift larger area under these crops and adopt best technologies and farm practices, to correct demand – supply imbalance.
As per 3rd Advance Estimates for 2021-22, production of Foodgrains in the country is estimated at record 314.51 million tonnes which is higher by 3.77 million tonnes than the production of foodgrain during 2020-21.
The production during 2021-22 is higher by 23.80 million tonnes than the previous five years’ (2016-17 to 2020-21) average production of foodgrains.
