New Delhi: The government on Wednesday decreases the price of minimum support (MSP) for wheat by Rs 40 to Rs 2,015 per quintal and for mustard seeds of Rs 400 to Rs 5,050 per quintal for the current year of harvest.
The decision in this case was taken at the Cabinet Committee meeting in Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi.
MSP is a rate at which the government buys grain from farmers.
At present, the government improves MSP for 23 plants planted in the Kharif and Rabbi season.
Sowing rabbi plants (winter) starts from October immediately after the harvest of Kharif (summer) plants.
Wheat and mustard are the main rabbi plants.
According to official release, CCEA has approved an increase in MSP for six Rabbi plants for the year of harvest 2021-22 (July-June) and 2022-23 marketing season.
MSP wheat has increased by RS 40 to RS 2,015 per quintal for this year of harvest from Rs 1,975 per quintal in the plant year 2020-21.
The cost of wheat production is estimated at Rs 1,008 per quintal, the word release.
The government held a record of more than 43 million tons of wheat for 2021-22 rabbi marketing seasons, according to officials.