Lok Sabha Question No. 3335 (UNSTARRED), answered on 2016-12-06
Subject: MSP for Agricultural Produce
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: DODDAALAHALLI KEMPEGOWDA SURESH, GOPALAKRISHNAN CHINNARAJ, KANWAR SINGH TANWAR

## GOVERNMENT OF INDIA

## MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE, COOPERATION AND FARMERS WELFARE

## LOK  SABHA UNSTARRED QUESTION NO.3335

TO BE ANSWERED ON THE 6 TH   DECEMBER, 2016

## MSP FOR AGRICULTURAL PRODUCE

3335.      SHRI D.K. SURESH: DR. C. GOPALAKRISHNAN: SHRI KANWAR SINGH TANWAR:

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ ष एवं कसान कयाण मंी be pleased to state:

- (a) whether  the  Government  fixes  the  Minimum  Support  Price  (MSP)  for  all  agricultural produce every year;
- (b) if so, the details for the last three years and the current year;
- (c) whether it is a fact that MSP for various agricultural produce has increased during the last three years but MSP for some agricultural produce has not been increased;
- (d) if so, the details thereof and the reasons therefor; and
- (e) whether  the  Government  is  considering  to  review  the  price  fixation  policy  to  provide benefit to the farmers as well as the consumers and if so, the details thereof?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE AND FARMERS WELFARE

कृ ष एवं कसान कयाण मंालय म राय मंी (SHRI  S.S. AHLUWALIA)

- (a) to (d): Government fixes Minimum Support Price (MSP) for twenty two (22) major crops and  Fair  and  Remunerative  Price  (FRP)  for  sugarcane  as  recommended  by  Commission  for Agricultural Costs and Prices (CACP). Twenty two crops covered under MSP are Paddy, Jowar, Bajra, Maize, Ragi, Arhar, Moong, Urad, Groundnut-in-shell, Soyabean, Sunflower, Sesamum, Nigerseed,  Cotton,  Wheat,  Barley,  Gram,  Masur  (Lentil),  Rapeseed/Mustardseed,  Safflower, Jute and Copra.

In  addition,  MSP  for  Toria  and  De-Husked  coconut  is  fixed  on  the  basis  of  MSPs  of Rapeseed/Mustardseed and Copra respectively.

The MSPs fixed by Government for last three years and current year i.e. from 2013-14 to 2016-17 are given at Annexure.

- (e): There  is  no  proposal  to  change  the  formula  for  determining  MSPs  at  present. Government fixes the Minimum Support Prices (MSPs) of various crops on the recommendations  of  the  CACP,  the  views  of  concerned  State  Governments  and  Central Ministries/Departments.  While  formulating  its  recommendations  on  price  policy,  the  CACP considers, interalia, a number of important factors which include cost of production, trends in market prices, demand and supply situation, effect on general price level, effect on cost of living etc.

## Annexure referred to in reply to parts (a) to (d) of the Lok Sabha Unstarred Question No. 3335  due for reply on 06.12.2016

## Minimum Support Prices (MSPs) and increase in MSPs for 2013-14 to 2016-17

(Rs. per quintal)

| Commodity          | Variety       | 2013-14   | 2014-15   | 2015-16   | 2016-17   |
|--------------------|---------------|-----------|-----------|-----------|-----------|
| Kharif Crops       |               |           |           |           |           |
| Paddy              | Common        | 1310      | 1360      | 1410      | 1470      |
|                    | Grade A       | 1345      | 1400      | 1450      | 1510      |
| Jowar              | Hybrid        | 1500      | 1530      | 1570      | 1625      |
|                    | Maldandi      | 1520      | 1550      | 1590      | 1650      |
| Bajra              |               | 1250      | 1250      | 1275      | 1330      |
| Maize              |               | 1310      | 1310      | 1325      | 1365      |
| Ragi               |               | 1500      | 1550      | 1650      | 1725      |
| Arhar (Tur)        |               | 4300      | 4350      | 4625^     | 5050^^    |
| Moong              |               | 4500      | 4600      | 4850^     | 5225^^    |
| Urad               |               | 4300      | 4350      | 4625^     | 5000^^    |
| Cotton             | Medium staple | 3700      | 3750      | 3800      | 3860      |
|                    | Long staple   | 4000      | 4050      | 4100      | 4160      |
| Groundnut in shell |               | 4000      | 4000      | 4030      | 4220*     |
| Sunflower seed     |               | 3700      | 3750      | 3800      | 3950*     |
| Soyabean           | Black         | 2500      | 2500      | -         | -         |
|                    | Yellow$$      | 2560      | 2560      | 2600      | 2775*     |
| Sesamum            |               | 4500      | 4600      | 4700      | 5000^     |
| Nigerseed          |               | 3500      | 3600      | 3650      | 3825*     |
| Rabi Crops         |               |           |           |           |           |
| Wheat              |               | 1400      | 1450      | 1525      | 1625      |
| Barley             |               | 1100      | 1150      | 1225      | 1325      |
| Gram               |               | 3100      | 3175      | 3500**    | 4000^     |
| Masur (Lentil)     |               | 2950      | 3075      | 3400**    | 3950 !    |
| Rapeseed/Mustard   |               | 3050      | 3100      | 3350      | 3700*     |
| Safflower          |               | 3000      | 3050      | 3300      | 3700*     |
| Toria              |               | 3020      | 3020      | 3290      | 3560      |
| Other Crops        |               |           |           |           |           |
| Copra              | Milling       | 5250      | 5250      | 5550      | 5950      |
|                    | Ball          | 5500      | 5500      | 5830      | 6240      |
| De-Husked Coconut  |               | 1425      | 1425      | 1500      | 1600      |
| Jute               |               | 2300      | 2400      | 2700      | 3200      |
| Sugarcane$         |               | 210.00    | 220.00    | 230.00    | 230.00    |

$$: MSP for soyabean yellow is applicable to black variety during 2015-16 and 2016-17.

$: Fair & Remunerative Price (FRP).

*: Including Bonus of Rs. 100 per quintal.

**: Including Bonus of Rs. 75 per quintal is payable over and above the MSP.

^: Including Bonus of Rs. 200 per quintal.

^^: Including Bonus of Rs. 425 per quintal.

! : Including bonus of Rs. 150 per quintal

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