Government raises minimum price for wheat and mustard

The government on Tuesday raised the minimum support price for wheat by Rs 110 to Rs 2,125 per quintal and mustard by Rs 400 to Rs 5,450 per quintal for the current crop year with the aim of boosting farmers’ production and income. The decision to increase the MSPs (minimum support prices) was taken during a meeting of the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modic.



MSP is the rate at which the government buys grain from farmers. Currently, the government sets MSPs for 23 crops grown in both Kharif and Rabi seasons.

The sowing of rabi (winter) crops starts in October, right after the harvest of kharif (summer) crops. Wheat and mustard are important rabi crops.

According to an official publication, the CCEA has approved an increase in MSPs for six rabi crops for the 2022-23 crop year (July-June) and the 2023-24 marketing year.

Wheat MSP has been increased by Rs 110 to Rs 2,125 per quintal for this crop year from Rs 2,015 per quintal in 2021-22 crop year.

The production cost of wheat is estimated at Rs 1,065 per quintal, the release said.

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