Govt ups MSP of 5 rabi crops like pulses and mustard seed, left wheat untouched

PUNE: The Central government on Thursday approved a hike of up to 20% in the support price of five rabi crops, including pulses and mustard seed, but left wheat untouched, making it clear that grain farmers do not need additional incentive after three consecutive bumper harvests.

But the higher MSP for oilseed and pulses may not be enough to attract more acreage since market prices of these commodities are already above the revised MSP.

The Cabinet Committee on Economic Affairs (CCEA) has approved the MSP of barley at 980 per quintal, gram at 3,000 per quintal, masur (Lentil) 2,900 per quintal, rapeseed/mustard at 3,000 per quintal from 2,500 and safflower 2,800 per quintal from 2,500.

However, dal and oilseeds processors said that the hike in MSP will not help increase the production of these crops as farmers are aware that market prices are ruling higher.

The current market price of masur is 3,200/qtl to 3,400/quintal. Chana dal prices are expected to touch 3,400/quintal in the coming months. Due to a fall in kharif acreage of pulses, farmers in Rajasthan, Maharashtra and Madhya Pradesh are expected to increase the area under chana.

Vijay Data, president, solvent extractors association of India, said: "The MSP of mustard has been raised to 2,800/quintal. This will not be of much use as the market price is already at 4,000/quintal."