The central government on Wednesday announced the minimum support price (MSP) for 14 Kharif crops. These include ragi, millet, millet, maize and cotton. Union Information and Broadcasting Minister Ashwini Vaishnav said that the new MSP of paddy has been fixed at Rs 2,300, which is Rs 117 more than the previous MSP. The new MSP of cotton will be Rs 7,121. The new MSP for another variety of this will be Rs 7,521, which is Rs 501 more than before. Ashwini Vaishnav said that 2 lakh new warehouses will be built in the country. Rs 2 lakh crore will be spent on the new MSP. This is 35 thousand crores more than the previous crop season. What is MSP or Minimum Support Price? The minimum support price is the guaranteed price that farmers get on their crop. Even if the prices of that crop are low in the market. The logic behind this is that the fluctuations in the prices of crops in the market should not affect the farmers. They should keep getting the minimum price. The government decides the MSP before every crop season on the recommendation of CACP i.e. Commission for Agricultural Costs and Prices. If there is a bumper yield of a crop, then its market prices are low, then MSP works as a fixed assured price for them. In a way, it works like an insurance policy that protects farmers when prices fall. 23 crops are included in MSP: News is being updated…
