Minimum support prices for pulses, wheat raised

Wednesday, October 20, 2010

NEW DELHI - The government Wednesday raised the minimum support prices (MSP) of gram and masur dal by Rs.340 and Rs.389 a quintal respectively and that of wheat by Rs.20.

The decision to raise the MSP of various Rabi crops was taken at a meeting of the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Manmohan Singh.

The MSP for 2010-11 Rabi crops, to be marketed in 2011-12, was raised on the recommendations of the Commission for Agriculture Cost and Prices (CACP), said an official statement.

The Rs.380 hike in MSP for masur would fetch farmers in 2011-12 a minimum of Rs.2,250 a quintal, while a quintal of gram would be selling at the minimum price of Rs.2,100.

Similarly, quintal of wheat would be fetching a MSP of Rs.1,120, said the statement, adding that the MSP for barley too has been raised by Rs.30 to Rs.780 a quintal from Rs.750 a quintal.

As per the CCAP recommendation, the CCEA also approved raising mustard and rapeseed MSPs by Rs.20 and safflower by Rs.120 a quintal.

“The prices of other oilseeds belonging to the rapeseed or mustard group will be fixed on the basis of their normal market price differentials with rapeseed or mustard,” said the statement.

In the case of cereals, the Food Corporation of India and other designated state agencies will continue to provide price support to the farmers, as in the past, the statement said.

The National Agricultural Co-operatrive Marketing Federation of India Limited (NAFED) will continue to be the nodal agency for procurement of oilseeds and pulses, it said, adding that losses, if any, would be fully reimbursed by the union government.

Filed under: Economy

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