Minimum Support Price For Paddy hiked and Fulfilled Budget Promise
Good news for farmers. The Union Cabinet has approved the increase in the minimum support price of Kharif crops including rice. The decision was taken by Prime Minister Narendra Modi at the Union Cabinet on Wednesday. With the decision, Minimum support price of the paddy crops rose up to Rs.200 per Quintal.
The government has decided to increase the minimum support price of 14 Kharif crops. According to sources, the MSP of paddy (common grade) has been increased by Rs. 200 to Rs. 1,750 per quintal, while that of Grade A variety by Rs. 160 per quintal to Rs. 1,750.
The MSP of paddy (common) was Rs. 1,550 per quintal and Rs. 1,590 per quintal for paddy (grade A) variety. The MSP of cotton (medium staple) has been increased to Rs. 5,150 from Rs.4,020 and that of cotton (long staple) to Rs. 5,450 from 4,320 per quintal.
In pulses, tur MSP has been raised to Rs. 5,675 per quintal from Rs. 5,450, and that of moong to Rs. 6,975 per quintal from Rs. 5,575. Urad MSP has been hiked to Rs. 5,600 from Rs. 5,400 per quintal. Hike in paddy MSP will increase the food subsidy bill by over Rs. 11,000 crores based on procurement figure of the 2016-17 marketing year (October-September).
Cotton price increased Rs. 4,020 to Rs. 5,150. In Lentils pulses price raised Rs. 5,450 to Rs. 5,675, Green Gram priced increased from Rs. 5,575 to Rs. 6,975, Black Gram price increased from Rs. 5,400 to Rs. 5,600.
The BJP has promised to ensure minimum support price at least 1.5 times more than the cost of cultivation in the 2014 Lok Sabha polls. An announcement to give farmers a price of 1.5 times of cost was made by Union Minister Arun Jaitley in Budget 2018 presented on February 1 this year.
India is estimated to have harvested a record foodgrains production at 279.51 million tonnes in the 2017-18 crop year (July-June) on the all-time high output of rice, wheat, coarse cereals and pulses.