Cabinet okays Copra minimum support price hike

NEW DELHI: The Cabinet Committee on Economic Affairs (CCEA) on Thursday approved an increase in the minimum support price (MSP) of milling copra and ball copra by Rs 150 per quintal. The revised MSP for the 2013 season will be Rs 5,350 per quintal for milling copra and Rs5,500 a quintal for ball copra.

The agriculture ministry had recommended a hike of up to Rs250 a quintal. “But the Cabinet okayed a lower MSP considering the recommendations of the Commission for Agricultural Costs and Prices (CACP), which had suggested a freeze in the copra MSP,” said a minister who was present at the meeting. The increase in the MSP is likely to encourage farmers to step up investment in coconut cultivation.

The country produces around 15,000 million nuts across 20 lakh hectares in states like Kerala, Tamil Nadu, Andhra Pradesh and Karnataka among others. “The National Agricultural Cooperative Marketing Federation of India would continue to be the nodal agency to buy copra at MSP,” said an official release. The Cabinet, however, did not take up any measures to vacate government’s godowns choked with wheat ahead of the new harvest season.

Agriculture minister Sharad Pawar had on Wednesday indicated that the Cabinet may discuss ways to offload of wheat from government’s godowns. “The Cabinet will soon take up proposals like lowering of wheat prices for open market and permitting more exports from government godowns,” said food minister K V Thomas.