What is Minimum Support Price (MSP)?
Minimum Support Price (MSP) is a form of government intervention where a minimum price is guaranteed at which certain crops are purchased from farmers. MSP supports the farmers by ensuring them a reasonable income, providing incentives to increase agricultural production, and helping maintain stable food supplies. The MSP is announced by the government before the sowing season. MSP is mainly announced for various essential crops, including cereals (such as rice, wheat, and millets), pulses, oilseeds, and some commercial crops (like cotton and sugarcane). Government agencies, such as the Food Corporation of India (FCI) and different state-level agencies, are responsible for procuring crops from farmers at the MSP. The procured crops are often used for various government programs, including the public distribution system (PDS).
MSP Meaning
MSP is the price set by the government to ensure that farmers receive a fair and guaranteed income for their crops. It serves as a safety net for agricultural producers by establishing a baseline price for their produce.
Also read: Full Form of MSP – Benefits of MSP
Minimum Support Price (MSP)
The Minimum support price (MSP) is announced by the government to provide to support farmers and stabilize the agricultural sector. This pivotal policy, relevant for Minimum support price (MSP) UPSC, covers various crops. MSP for food grains was introduced to benefit farmers, and its local implementation impacts communities. Explore the why, how theMSP minimum support price, including the recent Increase in minimum support price (MSP) for rabi crops in 2023. Stay informed with the comprehensive MSP list for different crops in India.
Minimum Support Price is the guaranteed minimum price at which certain agricultural products or crops are purchased from farmers by government agencies. MSP is announced by the government to ensure that farmers receive a fair and remunerative price for their produce, especially in situations where market prices might fall due to various factors such as oversupply, adverse weather, or other market uncertainties. Recently, the MSP 2023-24 list for Kharif and Rabi crops was announced by the government with the hike in the MSP. The increase in the MSP aligns to set the MSP at a minimum of 1.5 times the All-India weighted average Cost of Production, thereby ensuring fair income for farmers.
In this article, you will learn about what is MSP (Minimum Support Price), how it is determined, crops eligible for MSP, challenges faced during MSP, etc.
Table of Content
- What is Minimum Support Price (MSP)?
- How is MSP (Minimum Support Price) determined?
- Minimum Support Price (MSP) is Announced by the Government to Provide
- Minimum Support Price (MSP) UPSC
- Minimum Support Price (MSP) of How Many Crops are Fixed
- The Minimum Support Price (MSP) for Food Grains was Introduced in the Year
- What is Minimum Support Price MSP and How is it Being Implemented in Your Area?
- Why is Minimum Support Price (MSP) for Crops?
- Increase in Minimum Support Price (MSP) for Rabi Crops in 2023
- Who Decides the Minimum Support Price (MSP) for Agricultural Crops in India
- Minimum Support Price List
- MSP (Minimum Support Price)
- Crops Eligible for MSP (Minimum Support Price)
- Challenges Faced during MSP (Minimum Support Price)
- Incorporating MSP (Minimum Support Price) in Agricultural Strategies