Read or download the official PDF of this gazette notification issued by the Ministry of Agriculture & Farmers Welfare on 4th August 2026. Classified under Press Release.
Executive Summary
This report outlines the Government of India's framework for fixing Minimum Support Prices (MSPs) for 22 mandated crops at a minimum of 1.5 times the cost of production. It details the procurement mechanisms under the PM-AASHA and Market Intervention Schemes, including new 2024-25 provisions for perishable crops and transport reimbursements. Key objectives include achieving pulse self-sufficiency by 2030-31 and ensuring direct bank transfers to farmers via Aadhaar-linked systems.
Key Points / Main Content
MSP Determination Principles
MSPs are set annually for 22 mandated agricultural crops based on recommendations from the Commission for Agricultural Costs & Prices (CACP).
Since 2018-19, prices have been fixed to ensure a minimum margin of 50 percent over the all-India weighted average cost of production.
Procurement Framework and Agencies
Cereals: Procured by the Food Corporation of India (FCI) and designated State Agencies.
Pulses, Oilseeds, and Copra: Handled under the Price Support Scheme (PSS) of the PM-AASHA umbrella by NAFED and NCCF.
Commercial Crops: Cotton and Jute are procured by the Cotton Corporation of India (CCI) and Jute Corporation of India (JCI), respectively.
Mission for Aatmanirbharta in Pulses
The government has launched a mission to achieve self-sufficiency and reduce import dependence in pulses by 2030-31.
Specific focus is placed on the procurement of Tur, Urad, and Masur from pre-registered farmers.
Market Intervention Scheme (MIS) for Perishables
MIS protects growers of horticultural and perishable commodities from distress sales during bumper crops if market prices fall at least 10 percent below previous levels.
Price Differential Payment (PDP): Introduced in the 2024-25 season, allowing direct payment of the difference between the intervention price and the selling price.
TOP Crops: A new 2024-25 component provides reimbursement for storage and transportation costs of Tomato, Onion, and Potato (TOP) crops from producing to consuming states.
Operational and Digital Reforms
Procurement is supported by an evolving network of mandis, depots, and temporary purchase centers.
Payments are made directly to farmers' bank accounts.
State procurement portals now link Aadhaar and land records to ensure the direct delivery of benefits.
Impact Analysis
FarmersImpact
Farmers receive a price safety net through MSP and MIS, protecting them from market price volatility and distress sales. Digital integration ensures they receive payments directly in their bank accounts without intermediaries.
Action Required
Farmers must register on State procurement portals and ensure their Aadhaar and land records are linked to receive benefits. Pulse growers must pre-register with central nodal agencies.
State/UT GovernmentsImpact
States have increased flexibility to manage local market conditions, including the new option to choose between physical procurement or price differential payments for perishable crops.
Action Required
States must request the implementation of Price Support or Market Intervention Schemes when prices fall and manage the infrastructure/logistics for procurement centers.
Central Nodal Agencies (FCI, NAFED, NCCF, CCI, JCI)Impact
These agencies are responsible for executing massive procurement operations and are now eligible for reimbursements regarding the transportation and storage of TOP crops.
Action Required
Agencies must establish adequate procurement centers at key points and coordinate the transport of commodities from producing to consuming states.
Key Entities Referenced
Minimum Support Prices (MSPs): A price floor for 22 mandated agricultural crops, set at least 1.5 times the cost of production to ensure remunerative returns to farmers.
Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA): An umbrella scheme providing price support for pulses, oilseeds, and copra through mechanisms like the Price Support Scheme.
Commission for Agricultural Costs & Prices (CACP): The expert body responsible for recommending MSP levels to the government based on production costs and market factors.
Market Intervention Scheme (MIS): A component under PM-AASHA designed to protect growers of perishable horticultural commodities from distress sales during bumper harvests.
Mission for Aatmanirbharta in Pulses: A government initiative aimed at achieving self-sufficiency and reducing import dependence for pulses by the year 2030-31.
Ministry of Agriculture & Farmers Welfare
MINIMUM SUPPORT PRICES (MSPs) FOR ALL
CROPS
प्रव तथ: 04 AUG 2026 6:10PM by PIB Delhi
Every year, Government fixes Minimum Support Prices (MSPs) for 22 mandated agricultural crops for the
country as a whole, based on the recommendations of the Commission for Agricultural Costs & Prices
(CACP), after considering the views of the State Governments and Central Ministries / Departments
concerned.
The Union Budget for 2018-19 had announced the pre-determined principle to keep MSPs at levels of at
least one and half times of the cost of production. Accordingly, Government had increased MSPs for all
mandated Kharif, Rabi and other commercial crops with a minimum margin of 50 percent over all India
weighted average cost of production from year 2018-19 onwards.
Out of the total production, only marketable surplus is available for procurement by Government agencies
when market price of these produce fall below the MSP. Government procures cereals and coarse cereals
through Food Corporation of India (FCI) and other designated State Agencies to provide price support to
the farmers. Procurement of pulses, oilseeds and copra is done under Price Support Scheme under
umbrella scheme of Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA), on the request of
the concerned State Government as per the guidelines as and when market price of these produce fall
below the MSP. Procurement agencies under PM-AASHA Scheme are National Agricultural Cooperative
Marketing Federation of India Ltd (NAFED) and National Co-operative Consumers' Federation of India
Ltd. (NCCF). Cotton and Jute are also procured by Government at MSP through Cotton Corporation of
India (CCI) and Jute Corporation of India (JCI), respectively.
In addition, Adequate number of procurement centres are opened by respective State Government
Agencies, taking into account the production, marketable surplus, convenience of farmers and availability
of other logistics / infrastructure such as storage and transportation etc. Temporary purchase centres, in
addition to the existing mandis and depots/godowns are also established at key points. The procurement
operation is a continuously evolving process and during the last few years, procurement processes under
MSP have improved to ensure payment of MSP to farmer’s bank account directly and linkage of Aadhaar
and land records with the States’ procurement portals ensure that the farmers directly get the benefits of
the MSP purchase.
Government has launched Mission for Aatmanirbharta in Pulses till 2030-31, to reduce import dependence
and achieve self-sufficiency in pulses. To encourage domestic production of pulses, the Government is
undertaking procurement of Tur, Urad and Masur under the PM-AASHA Scheme on the request of State
Government from pre-registered farmers as much as offered by them through Central Nodal Agencies,
namely the National Agricultural Cooperative Marketing Federation of India Ltd. (NAFED) and the
National Cooperative Consumers' Federation of India Limited (NCCF).Government also implements Market Intervention Scheme (MIS), a component under PM-AASHA, for
procurement of agricultural and horticultural commodities, which are perishable in nature and are not
covered under the Price Support Scheme (PSS). The objective of intervention is to protect the growers of
these commodities from making distress sale in the event of a bumper crop during the peak arrival period
when the prices tend to fall below economic levels and the cost of production. There should be at least a
10 percent decrease in the ruling market prices over the previous normal year. The scheme is implemented
at the request of a State/UT government.
Government has introduced a new component of Price Differential Payment (PDP) under Market
intervention scheme (MIS) from 2024-25 season for direct payment of the price difference between the
Market Intervention Price (MIP) and the selling price to the farmers of perishable crops. States/UTs have
an option to choose either to do physical procurement of the crop or to make the differential payment
between the MIP & Sale Price to the farmers.
Further, from 2024-25 season, Government added another component under Market intervention scheme
(MIS) for reimbursing the Storage and Transportation cost of TOP crops (Tomato, Onion and Potato) to
central nodal agencies & State designated agencies for transporting them from the producing State to
consuming states in the interest of the farmers.
Increased MSP has benefited farmers of the country which are evident from data of procurement and MSP
amount paid to the farmers. The details of procurement and MSP amount paid to farmers during 2021-22
to 2025-26 (upto June, 2026) are given as under:
Procurement and MSP amount paid to farmers during last five years
2021-22 to 2025-26
Total Procurement (In LMT) Total MSP Value (In lakh Crore)
5781 14.58
The total procurement of all 22 MSP crops has increased from 6,987 Lakh Metric Tonne (LMT) during
2004-14 to 12,819 LMT during 2014-26(upto June 2026). The MSP amount paid to farmers has increased
from Rs. 7.41 Lakh Crores during 2004-14 to Rs. 27.80 Lakh crores during 2014-26 (upto June 2026).
The Government is implementing several policies, reforms, developmental programmes to increase
agricultural productivity, reduce the cost of cultivation, promote crop diversification, ensure remunerative
returns and provide income support to farmers. These various schemes / programmes cover the entire
spectrum of agriculture including credit, insurance,income support, infrastructure, crops including
horticulture, seeds, mechanization,marketing, organic and natural farming, farmer collectives, irrigation,
extension activities,procurement of crops, digital agriculture etc.
This information was given by the Minister of State for Agriculture and Farmers Welfare SHRI RAMNATH
THAKUR in a written reply in Lok Sabha today.*****
RC/MS
(रलीज़ आईडी: 2294446) आगंतुक पटल : 3039
इस वज्ञ को इन भाषाओ ंम पढ़: Urdu , ही , Telugu