In a bid to woo the farmers' community ahead of 2019 general elections, Narendra Modi government on Wednesday increased the Minimum Selling Price (MSP) of paddy by Rs 200 per quintal.
According to the reports, the Cabinet Committee on Economic Affairs (CCEA) has increased the MSP of 14 Kharif (summer-sown) crops. hte decision was made to honour the government’s announcement to increase the MSP by at least 1.5 times of the production cost in the Union budget 2018.
The massive hike in the Kharif crops came a week after Prime Minister Narendra Modi announced that the cabinet would increase the MSP by 1.5 times of the production cost. The hike in MSP was also one of the major promises made by the BJP during 2014 elections.
After the hike, the MSP of paddy would increase from the current Rs 1,550 per quintal for the common variety to Rs 1,750 per quintal and from 1,590 per quintal to Rs 1,790 for Grade A variety, according to sources.
“This is a historic decision. Despite being the largest producer, consumer and customer, farmers never got their due. PM Modi understood farmers’ woes and they will be given 1.5 times of their production,” ANI quoted Rajnath Singh as saying.
Paddy (Dhan) is one of the main ‘Kharif’ crops sowing of which started with the onset of southwest monsoon. The harvesting of the crop would start in the month of October.
Apart from paddy, 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.
(With inputs from agencies)