**Executive Summary**
This document addresses Unstarred Question No. 506 in the Lok Sabha, regarding the implementation of Minimum Support Price (MSP) for all crops as per the C2+50% formula. The document confirms that the Government fixes MSPs for 22 mandated agricultural crops annually and has increased MSPs for all mandated crops, with at least a 50% return over the cost of production since 2018-19. The question was scheduled to be answered on February 3, 2026.
**Key Points / Main Content**
* **MSP Determination:**
* The Government fixes MSPs for 22 mandated agricultural crops each year.
* Determination is based on recommendations from the Commission for Agricultural Costs & Prices (CACP).
* The views of State Governments and Central Ministries/Departments are also considered.
* **Crops Covered:**
* The 22 mandated crops include 14 Kharif crops: paddy, jowar, bajra, maize, ragi, tur (arhar), moong, urad, groundnut, soyabean, sunflower, sesamum, nigerseed, and cotton.
* 6 Rabi crops: wheat, barley, gram, masur (lentil), rapeseed & mustard, and safflower.
* 2 commercial crops: jute and copra.
* **MSP Implementation:**
* The Union Budget for 2018-19 announced keeping MSPs at least 1.5 times the cost of production.
* The Government has increased MSPs for all mandated Kharif, Rabi, and other Commercial crops.
* A minimum return of 50% over the all-India weighted average cost of production is ensured from 2018-19 onwards.
* **Procurement and MSP Value:**
* Data is provided for crop years 2022-23 to 2024-25.
* Total procurement in LMT was 1,118 (2022-23), 1,089 (2023-24) and 1,223 (2024-25).
* Total MSP value in lakh Crore was 2.47 (2022-23), 2.63 (2023-24) and 3.47 (2024-25).
**Impact Analysis**
**Stakeholder: Farmers**
* **Impact:** Increased MSPs have benefited farmers by providing better returns on their agricultural produce.
* **Action Required:** No direct action is mentioned in the document.
**Stakeholder: State Governments and Central Ministries/Departments**
* **Impact:** Their views are considered in the annual MSP determination process.
* **Action Required:** Continue providing input and recommendations to the CACP regarding MSP determination.
Key Entities Referenced
Minimum Support Price (MSP): Government policy to fix prices for mandated agricultural crops to support farmers.
Ministry of Agriculture and Farmers Welfare: The Indian government ministry responsible for policies related to agriculture and farmers' welfare.
Commission for Agricultural Costs & Prices (CACP): An advisory body that recommends minimum support prices for agricultural produce.
O.I.H.
GOVERNMENT OF INDIA
MINISTRY OF AGRICULTURE AND FARMERS WELFARE
DEPARTMENT OF AGRICULTURE AND FARMERS WELFARE
LOK SABHA
UNSTARRED QUESTION NO. 506
TO BE ANSWERED ON THE 03RD FEBRUARY, 2026
MSP FOR ALL CROPS
506. SHRI ASHOK KUMAR RAWAT:
Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ(cid:874)ष एव ं (cid:873)कसान क(cid:227)याण
म(cid:287)ं ी be pleased to state:
(a) whether the Government has taken a decision to provide Minimum Support Price
(MSP) for all the crops in accordance with the C2+50 per cent formula;
(b) if so, the names of the crops for which the said formula has been implemented, if
not, the reasons therefor; and
(c) the details of Government procurement at MSP during the last three years, State and
crop-wise?
ANSWER
THE MINISTER OF STATE FOR AGRICULTURE AND FARMERS WELFARE
कृ(cid:874)ष एवं (cid:873)कसान क(cid:227)याण रा(cid:207)य म(cid:287)ं ी (SHRI RAMNATH THAKUR)
(a) to (c): Every year, Government fixes Minimum Support Prices (MSPs) for 22 mandated
agricultural crops for the country as a whole, based on the recommendations of
Commission for Agricultural Costs & Prices (CACP), after considering the views of State
Governments and Central Ministries/Departments concerned. The 22 mandated crops
include 14 Kharif crops viz. paddy, jowar, bajra, maize, ragi, tur (arhar), moong, urad,
groundnut, soyabean, sunflower, sesamum, nigerseed, cotton and 6 Rabi crops viz. wheat,
barley, gram, masur (lentil), rapeseed & mustard, safflower and two commercial crops viz.
jute and copra.
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 return of 50 percent over all India weighted average cost of
production from year 2018-19 onwards.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 from Crop Year 2022-23 to 2024-25 are given as under:
Procurement & MSP value of MSP Crops
All MSP Crops 2022-23 2023-24 2024-25
Total Procurement
1,118 1,089 1,223
(In LMT)
Total MSP Value
2.47 2.63 3.47
(In lakh Crore)
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