TIA NEWS
Cabinet Committee on Economic Affairs – CCEA has approved the hike in the minimum support price, MSP of paddy by Rs 60 to 1,470 rupees per quintal for kharif season 2016-17.

The government had earlier fixed the MSP of common variety paddy at 1,410 rupees per quintal.

MSP is the rate at which the government buys the grain from farmers. Sowing of kharif crops will begin with the onset of southwest monsoon this month. Paddy is the main crop grown in the season.

Barring pulses and oilseeds, the CCEA has approved the MSP of other crops as per the recommendation of government’s advisory body on farm pricing.

In case of pulses, the sources said the government has hiked MSP substantially for 2016-17 kharif season to boost domestic production and reduce the country’s dependence on imports.

Sources said the CCEA has approved more than 400 rupees per quintal increase including bonus to enthuse farmers to grow more pulses this year. Similarly in oilseeds, the MSP has been increases substantially.

In case of cotton, the CCEA has approved 60 rupees per quintal jump in MSP of medium staple cotton to 3,860 rupees for 2016-17 and for long staple cotton to 4,160 rupees per quintal.