Modi Government Increases MSP for Kharif Crops. Nigerseed, Ragi, Cotton, and Sesame See the Largest MSP Increases. Farmers to Receive Improved Crop Prices. KCC Scheme Continued.
Cabinet Meeting: The Modi government has provided significant relief to India's farmers. A cabinet meeting on Wednesday decided to increase the Minimum Support Price (MSP) for Kharif crops. This decision will be applicable for the 2025-26 marketing season. The government has increased the MSP for 14 Kharif crops, with the most significant increases for nigerseed, ragi, cotton, and sesame.
Union Minister Ashwini Vaishnaw stated that this decision was taken at a meeting of the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi. This step aims to ensure remunerative prices for farmers' produce and increase their income.
MSP Increase for Each Crop:
According to the government, the MSP for nigerseed has been increased by ₹820 per quintal. The MSP for ragi has been increased by ₹596 per quintal, cotton by ₹589 per quintal, and sesame by ₹579 per quintal. Farmers are also projected to receive over 50% profit on their costs for crops like bajra, maize, tur, and urad. Bajra, in particular, is expected to yield a profit of up to 63%.
Relief Regarding the Kisan Credit Card Scheme:
The cabinet also decided to continue the Kisan Credit Card (KCC) scheme for farmers. Under this scheme, farmers will receive short-term loans up to ₹3 lakh at a concessional interest rate of 7%. Farmers who repay their loans on time will receive an additional 3% prompt repayment incentive, reducing their effective interest rate to 4%. This scheme provides relief to 7.75 crore farmers across the country.
Approval for Infrastructure Projects:
The cabinet also approved several crucial projects to strengthen the country's infrastructure. This includes a four-lane highway connecting Krishnapatnam Port in Andhra Pradesh, a new highway from Badvel to Nellore, and four-tracking of the railway line from Ratlam to Nagda. These projects will improve the country's logistics and connectivity.
Two Major Railway Multi-Tracking Projects Approved:
Significant decisions were also made regarding railway development. The cabinet approved the Ratlam-Nagda third and fourth line project and the Wardha-Balharshah fourth line project. These two projects will cost approximately ₹3,399 crore and are scheduled for completion by 2029-30. This will create approximately 176 kilometers of new railway network across four districts in Maharashtra and Madhya Pradesh. These projects will directly benefit approximately 19.74 lakh people and strengthen the connectivity of 784 villages.
Benefits for Farmers and the National Economy:
This government initiative will boost farmers' income and accelerate national development. The MSP increase will provide farmers with better prices for their produce. Meanwhile, the new highway and railway projects will create new opportunities in trade, transportation, and employment. The government aims to double farmers' income and accelerate development in rural areas.
