|| Shree Mumba Devi Prasanna ||


AGMARKNET
27 Jun 2022
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Crops


CCEA approves MSP for Kharif Crops for Marketing Season 2022-23

CCEA approves MSP for Kharif Crops for Marketing Season 2022-23

The Cabinet Committee on Economic Affairs (CCEA) chaired by the Prime Minister Narendra Modi, has approved the increase in the Minimum Support Prices (MSP) for all mandated Kharif Crops for Marketing Season 2022-23.

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NEW DELHI, 20 June 2022: The Cabinet Committee on Economic Affairs (CCEA) chaired by the Prime Minister Narendra Modi, has approved the increase in the Minimum Support Prices (MSP) for all mandated Kharif Crops for Marketing Season 2022-23.

Government has increased the MSP of Kharif Crops for Marketing Season 2022-23, to ensure remunerative prices to the growers for their produce and to encourage crop diversification, as provided in the table below.

Minimum Support Prices for all Kharif crops for Marketing Season 2022-23                                                                                                                                                                                                                                                  (INR per quintal)

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

-

*Refers to cost which includes all paid out costs such as those incurred on account of hired human labour, bullock labour/machine labour, rent paid for leased in land, expenses incurred on use of material inputs like seeds, fertilizers, manures, irrigation charges, depreciation on implements and farm buildings, interest on working capital, diesel/electricity for operation of pump sets etc., miscellaneous expenses and imputed value of family labour. 

^ Cost data are not separately compiled for Paddy (Grade A), Jowar (Maldandi) and Cotton (Long staple) 

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 percent, 60 percent, 59 percent, 56 percent, 53 percent and 51 percent 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.


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