Cabinet approves increase in MSP for various Kharif crops

Tags: Economy/Finance National News

The Union Cabinet on June 8 approved an increase in the Minimum Support Price (MSP) for various Kharif (summer) crops for the year 2022-23.

• In the cabinet meeting, the MSP of 14 kharif crops was approved.

• The approved rates are at least 1.5 times the All India Weighted Average Cost of Production.

• MSP of common grade variety of paddy - increased to ₹2,040 per quintal for the 2022-23 crop year from ₹1,940 in the previous year.

• The support price of 'A' grade variety of paddy - increased to ₹2,060 per quintal from ₹1,960.

• The increase in MSP over the previous year is recommended by -

1. Sesamum 523 rupees per quintal

2. Moong 480 rupees per quintal

3. Sunflower seed 385 rupees per quintal

4. Tur, Urad and Groundnut 300 rupees per quintal

5. Cotton (Medium Staple) 354 rupees and Cotton (Long Staple) 355 rupees

• Farmers benefit from increase in MSP

• It will provide assured remunerative prices to the farmers and will help in achieving the goal of Atmanirbhar Bharat.

• It will also lead to more investment and production.

• It will empower crores of farmers of the country.

• What is the Kharif Season?

• It starts in June and ends in October where monsoon crops are cultivated and harvested.

• Some important Kharif Crops

1. Bajra

2. Jowar

3. Maize 

4. Millet

5. Rice (paddy and deepwater rice)

6. Soybean

• What is Minimum Support Price (MSP)?

• MSP is the rate at which the government buys food grains from farmers.

• This is based on the calculation of at least one and a half times the cost of production incurred by the farmers.

• The Government of India fixes the MSP for 24 items twice a year.

• When the market price falls below the declared MSP, the government buys food grains from the farmers at the MSP rate.