The central government has increased the minimum support price (MSP) of 14 Kharif crops including paddy, cotton, soybean, tur. The Union Cabinet took this decision today i.e. on 28 May. Union Information and Broadcasting Minister Ashwini Vaishnav said that the new MSP of paddy has been fixed at Rs 2,369, which is Rs 69 more than the previous MSP. The new MSP of cotton has been fixed at Rs 7,710. The new MSP of another variety of it has been made Rs 8,110, which is Rs 589 more than before. The new MSP will put a burden of Rs 2 lakh 7 thousand crore on the government. This is Rs 7 thousand crore more than the previous crop season. The Union Minister said that it has been taken care that the MSP should be at least 50% more than the cost of the crop. What is MSP or Minimum Support Price
Minimum Support Price i.e. Minimum Support Price is the guaranteed price that farmers get on their crop. Even if the prices of that crop are low in the market. The logic behind this is that the fluctuations in the prices of crops in the market should not affect the farmers. They should keep getting the minimum price. The government fixes MSP on the recommendation of CACP i.e. Commission for Agricultural Costs and Prices before every crop season. If there is a bumper production of a crop, then its prices are low in the market, then MSP works as a fixed assured price for them. In a way, it works like an insurance policy that protects farmers when prices fall. MSP includes 23 crops: Which crops are included in Kharif crops?
Paddy (rice), maize, jowar, millet, moong, groundnut, sugarcane, soybean, urad, tuar, kulthi, jute, flax, cotton etc. Kharif crops are sown in June-July. They are harvested in September-October. Other decisions of the Cabinet 1. Kisan Credit Card Interest Subsidy Scheme extended
The central government has decided to continue the Kisan Credit Card Interest Subsidy Scheme for 2025-26. The Interest Subsidy Scheme (MISS) has been approved to continue for the next financial year 2025-26. The required fund has also been decided for this. This scheme is to provide loans to farmers at low interest through Kisan Credit Card (KCC). 2. Approval to two multitracking projects
The cabinet approved two multitracking projects of Indian Railways in Maharashtra and Madhya Pradesh. Under this, the third and fourth lines will be laid between Ratlam-Nagda. At the same time, Wardha-Balharshah fourth line will be postponed. The total estimated cost of these projects is Rs 3,399 crore and they will be completed by 2029-30. 3. Four-lane highway between Badvel-Nellore in Andhra Pradesh approved
The central government has approved the 108 km long four-lane highway project between Badvel-Nellore in Andhra Pradesh. The cost of this project is Rs 3,653 crore.
This highway will connect Krishnapatnam Port in Andhra Pradesh and a section of National Highway-67, improving port connectivity. This road also connects the nodes of three major industrial corridors – VCIC (Kopparthi), HBIC (Orvakal) and CBIC (Krishnapatnam).
