3 hrs ago
India Approves Rabi Crop MSP Hikes, Wheat Increase Remains Modest
India’s Cabinet has set new minimum support prices for six winter-season crops.
These prices apply to the 2027-28 marketing season.
Wheat, the main winter cereal, will have an MSP of Rs 2,610 per quintal.
That is Rs 25 more than the previous price, or less than a 1% increase.
Safflower received the biggest increase, at about 10.3%.
Prices for barley, gram, lentil and mustard also went up.
The government said it considered production costs, weather concerns and market prices.
It expects the revised prices to involve a payout of about Rs 90,962 crore for 324 lakh tonnes of crops.
The Cabinet approved MSPs for six rabi crops for the 2027-28 marketing season.
Wheat MSP rose by Rs 25 to Rs 2,610 per quintal, a 0.97% increase.
Safflower received the largest increase at about 10.3%, reaching Rs 7,215 per quintal.
Mustard, barley, lentil and gram MSPs were also raised by between 1.4% and 6.7%.
The government estimates a Rs 90,962 crore payout for 324 lakh tonnes of crops.
- Who
- The Government of India, through the Cabinet Committee on Economic Affairs chaired by Prime Minister Narendra Modi, approved the prices.
- What
- Minimum support prices for six rabi crops were announced for the 2027-28 marketing season.
- Where
- India.
- When
- The decision was announced on Wednesday and published on September 30, 2026, before the winter sowing season.
- Why
- The prices followed recommendations from the Commission for Agricultural Costs and Prices and took account of production costs, El Nino concerns, and global and domestic price trends.
Modest-hike assessment
Government-justification assessment
Wheat price increase
Modest-hike assessment
The wheat MSP increase was limited to Rs 25 per quintal, or 0.97%, compared with a 6.6% increase the previous year.
Government-justification assessment
The government said wheat MSP was set at more than twice its stated production cost of Rs 1,264 per quintal.
Basis for the revisions
Modest-hike assessment
The comparatively small wheat increase may be viewed as restrained relative to the increases for several other rabi crops.
Government-justification assessment
The government said the MSP decisions reflected production costs, El Nino concerns, and global and domestic price trends.
Key facts
- Marketing season
- Rabi marketing season 2027-28
- Wheat MSP
- Rs 2,610 per quintal, up from Rs 2,585
- Largest increase
- Safflower, up about 10.3% to Rs 7,215 per quintal
- Other crop MSPs
- Barley: Rs 2,286; gram: Rs 5,958; lentil: Rs 7,390; mustard: Rs 6,613 per quintal
- Estimated payout
- Rs 90,962 crore for 324 lakh tonnes
- Production target
- 177.72 million tonnes of foodgrains during the current rabi season
- Weather concern
- The government cited El Nino concerns; several states recorded substantial September rainfall deficits
Quotes
Ashwini Vaishnaw
India’s Information and Broadcasting Minister who briefed the media after the Cabinet meeting
“The production cost of wheat is ₹1,264 per quintal, but MSP has been kept more than double at ₹2,610 per quintal for 2027-28.”
thehindubusinessline.com
Sources
Related news
Cabinet Approves Rabi MSP Hike for Six Crops
Centre Raises Wheat MSP Above Double Production Cost for 2027-28
Cabinet May Raise Rabi Crop MSP, Extend Ujjwala Subsidy
Kharif Crop Prices Seen Strong, Except Bajra and Moong
Deficient Monsoon Raises Drought Risks for India’s Winter Crops
India Lowers 2026-27 Foodgrain Target Amid El Niño Concerns
Delhi Approves Rs 1,789 Crore AI Traffic System
India Approves ₹1.86 Lakh Crore Renewable Grid Push
Indian Cabinet Approves ₹1.86 Lakh Crore Green Energy Corridor-III Scheme
