New Delhi, May 28: The Union Cabinet on Wednesday approved a hike in the Minimum Support Prices (MSP) for 14 major kharif crops for the 2025-26 marketing season, aiming to ensure fair returns for farmers ahead of the sowing period.
Among the key increases, niger seed received the steepest hike of Rs 820 per quintal, followed by ragi (Rs 596), cotton (Rs 589), and sesamum (Rs 579). Paddy, a staple crop, saw a modest increase of Rs 69 per quintal.
In the pulses category, MSP for tur (arhar) has been raised by Rs 450, moong by Rs 86, and urad by Rs 400. For oilseeds, groundnut will fetch Rs 480 more per quintal, while sunflower seed and soybean saw increases of Rs 441 and Rs 436, respectively.
The MSP hikes align with the 2018-19 Union Budget policy, which mandated MSPs to be at least 1.5 times the all-India weighted average cost of production. As per government estimates, bajra farmers will enjoy the highest margin at 63%, followed by maize and tur at 59%, and urad at 53%. For other crops, margins are expected to remain at 50%.
The government noted that it continues to promote diversification beyond cereals, particularly pulses, oilseeds, and nutri-cereals (Shree Anna)—by offering attractive MSPs to encourage wider cultivation.
Highlighting procurement trends, the Centre reported that from 2014-15 to 2024-25, it procured 7,608 LMT of paddy, a sharp rise from 4,590 LMT between 2004-05 and 2013-14. Procurement of all 14 kharif crops during the same period touched 7,871 LMT, up from 4,679 LMT in the previous decade.
Correspondingly, MSP payouts to paddy farmers surged to Rs 14.16 lakh crore, up from Rs 4.44 lakh crore, while overall payments for the 14 kharif crops rose to Rs 16.35 lakh crore, more than tripling the Rs 4.75 lakh crore paid during 2004-2014.
India follows three main crop cycles—Kharif (sown in June-July, harvested in October-November), Rabi (sown in October-November, harvested from January), and Summer crops, grown between the two.
