Center raises MSP for wheat at ‘more than double’ cost of production; the price now stands at ₹ 2,610 per quintal | Today’s news
On September 30, the Center increased the Minimum Support Price (MSP) for wheat by ₹25. New wheat MSP stands at ₹2,610 per quintal, according to PTI. This applies to the 2027-28 rabi marketing year. Last year’s wheat MSP was ₹2,585 per cent.
The economic committee of the government approved this proposal on Wednesday. Prime Minister Narendra Modi presided over this important meeting. Six rabi crops received an increase in MSP this time. These include wheat, gram, masur and mustard, PTI reported.
Information and Broadcasting Minister Ashwini Vaishnaw disclosed these details to reporters.
Read also | Russia-Ukraine War Disrupts Wheat Supply: Who’s Running Out?
“The production price of wheat is ₹1,264 per quintal, but the MSP was kept at more than double ₹2,610 per quintal for 2027-28,” Vaishnaw said.
Barley MSP also increased from ₹2,150 to ₹2,286. Gram MSP has increased among pulses ₹83. The new MSP gram now stands at ₹5.958. Masur’s MSP increased more significantly, Fr ₹390. The SME has reached a new measure ₹7,390 per cent.
For oilseeds, the MSP of mustard has increased ₹413. The new mustard MSP has become ₹6,613 per cent. Svetlice barvírska recorded the steepest increase overall. Its MSP has increased ₹675 to ₹7,215.
The total payment to farmers for purchase in 2027-2028 is estimated to be high. This covers 324 million tonnes and costs ₹90,962 million crowns.
Vaishnaw explained the reasons for the marginal increase in wheat. The government ensures a margin of at least 50% above production costs.
Read also | India’s semiconductor boom: how to separate the wheat from the chaff
The actual wheat margin is much higher at 106%. Mustard is closely followed with a 96% margin for farmers. The lens sees a 92% margin, the gram gets a 59% margin. Barley receives a 58% margin, safflower dyes a 50% margin.
According to the Ministry, this increase for SMEs ensures profitable prices. It will also encourage crop diversification among farmers across the country. The government has recently been promoting the cultivation of pulses and oilseeds. A higher MSP than cereals supports this shift.
Food inflation
On food inflation concerns, Vaishnaw explained CACP’s balanced approach. It carefully considers the interests of farmers and consumers together. This decision also affects sustained agricultural growth.
Vaishnaw criticized the previous governments while praising the current politics. He said similar decisions had previously appeared to favor particular interests. Now these decisions are considered universal benefits.
Read also | Wheat falls amid profit-taking, Black Sea War headlines
He noted that agricultural growth has historically been challenging since independence. Previously, growth of 3-3.5% was considered a big success. However, the last 12 years have shown consistent growth above 4%. This directly benefits the welfare of farmers and food security across the country.
“This is a big change. Its impact is directly on farmers’ welfare, food security and self-sufficiency. We never thought that there could be such good growth in the agriculture sector,” he said, adding that the government has committed to provide at least 50% margin through SMEs,” he said.
MSP for wheat in the marketing year 2026-2027 (April-March) ₹2,585 per cent.
