Centre raises MSP for paddy by ₹69 for Kharif 2025–26, aims to bolster farm incomes

The move was approved by the Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi.

The support price for the Grade A variety of paddy has also been revised upward by ₹69 to ₹2,389 per quintal.

Broader MSP revisions across crops

Besides paddy, the Cabinet has approved revised MSPs for 13 other Kharif crops.

Among them, nigerseed recorded the steepest absolute increase of ₹820 per quintal, followed by ragi with a ₹596 hike, cotton at ₹589, and sesamum at ₹579.

The government said these revisions are aimed at enhancing farmers’ incomes while promoting crop diversification to support nutritional security.

Better returns for growers

According to the CCEA statement, the projected margin for farmers over their cost of production is expected to be the highest in bajra at 63 percent.

Maize and tur are both pegged at 59 percent, while urad is expected to deliver a 53 percent return. For the rest of the crops under the Kharif basket, farmers are estimated to earn a margin of at least 50 percent.

Rising procurement levels

The Centre also pointed to a sharp increase in crop procurement over the last decade. From 2014–15 to 2024–25, paddy procurement stood at 7,608 lakh metric tonnes (LMT), valued at ₹14.16 trillion.

This marks a significant jump from 4,590 LMT worth ₹4.44 trillion procured in the previous ten-year period.

For all 14 Kharif crops combined, procurement volumes reached 7,871 LMT worth ₹16.35 trillion during the same period, up from 4,679 LMT valued at ₹4.75 trillion a decade earlier.