The Union cabinet has approved an increase in minimum support prices (MSPs) for 14 kharif crops for the 2026-27 marketing season.The updated MSPs, which are intended to guarantee better returns for growers while promoting increased crop output, will take effect for the forthcoming Kharif harvest.
The MSP for common paddy has been raised by 72 to 2441 per quintal, which is one of the significant changes. With its MSP increasing by 557 to 8267 per quintal, medium-staple cotton has seen one of the biggest increases. Groundnuts will now be purchased for 7515 per quintal, while the MSP for maize has been raised to 2410 per quintal. For others also been announced.
In keeping with its long-standing policy, the government claims that the updated MSPs guarantee farmers at least a 50% return above the estimated cost of production. A margin of almost 50% is ensured by the anticipated production cost of 1627 per quintal for ordinary paddy.
The Kharif sowing season, which is primarily dependent on the southwest monsoon, is preceded by the MSP announcement. During the 2026-27 selling season, the decision is anticipated to strengthen India's food security, support rural incomes, promote crop diversification, and increase agricultural output.
