Government Boosts Support for Farmers with Increased MSP and Soybean Purchases

Union Agriculture Minister Shivraj Singh Chouhan assured that the government will procure soybeans from key states at MSP. Import duties on oils have been raised to stabilize prices. The Cabinet approved significant MSP hikes for Rabi crops, including rapeseed and mustard, aligning with prior announcements.

During a pivotal meeting held on Thursday, Union Agriculture and Farmers Welfare Minister Shivraj Singh Chouhan announced that the Indian government will purchase soybean crops from Maharashtra, Karnataka, and Madhya Pradesh at the Minimum Support Price (MSP). A focus on supporting domestic agriculture was highlighted by increased import duties on oils from other nations.

Chouhan stated, "Our commitment is to buy crops whenever a state requests it. We assured key soybean-producing states of purchases at MSP. As oilseed prices dropped, we implemented a 27.5% import duty on foreign oils, which has already led to a price increase in oilseeds like soybean, nearing MSP." The meeting was an avenue to tackle pressing issues affecting farmers today.

On Wednesday, Chouhan reiterated Prime Minister Narendra Modi's commitment to buying crops at no less than 50% profit over production costs. The Cabinet Committee on Economic Affairs, led by Modi, approved higher MSPs for all mandated Rabi crops for the 2025-26 marketing season, offering farmers better returns. Rapeseed and mustard see the highest increase at Rs 300 per quintal, with other crops like lentil, gram, and wheat also receiving notable hikes.

This MSP increase aligns with the Union Budget 2018-19 assurance to set MSPs at least 1.5 times the weighted average production cost. The increased MSP for Rabi crops is expected to provide substantial profit margins and encourage crop diversification.

(With inputs from agencies.)