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Minimum Support Prices (MSP) for Kharif Crops of 2016-17 season

Published By : Admin | June 1, 2016 | 17:50 IST
Govt approves increase in the Minimum Support Prices (MSPs) for all Kharif Crops of 2016-17 Season
To incentivise cultivation of pulses and oilseeds, Govt announces a bonus on these crops, payable over and above the approved MSP
Pradhan Mantri Fasal Bima Yojana -Low premiums to be paid by farmers - 2 % of sum insured for Kharif crops, 1.5% for Rabi crops
Govt launches crop insurance portal & Mobile app to help farmers find out complete details about insurance cover available
Govt launches scheme to develop a pan India electronic trading platform under ‘National Agriculture Market’ (NAM) scheme
Soil Health Cards being issued to farmers across the country - Card provides information on fertility status of soil
Paramparagat Krishi Vikas Yojana: Govt promoting organic farming and development of potential market for organic products
Pradhan Mantri Krishi Sinchai Yojana: Scheme implemented with the vision of extending the coverage of irrigation
Govt focusing on improving production & productivity of rice, wheat, coarse grains and pulses under National Food Security Mission

The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Shri Narendra Modi, has given its approval for the increase in the Minimum Support Prices (MSPs) for all Kharif Crops of 2016-17 Season. Further, to incentivise cultivation of pulses and oilseeds , in the country Government has announced a bonus on these crops, payable over and above the approved MSP.  

The decision to increase MSPs is based on the  recommendations of Commission for Agricultural Costs and Prices (CACP) which takes into account the cost of production, overall demand-supply, domestic and international prices, inter-crop price parity, terms of trade between agricultural and non-agricultural sectors, the likely effect of the Price Policy on the rest of economy, besides ensuring rational utilization of production resources like land and water, while recommending MSPs.

The CACP being the expert body, its recommendations are generally accepted as such.  However, to incentivise cultivation of pulses and oilseeds, the Cabinet has decided to give a bonus, over and above the recommendations of the CACP, of Rs.425/- per quintal for kharif pulses, namely Arhar (Tur), Urad and Moong, a bonus of Rs 200/- per quintal for Sesamum and a bonus of Rs 100/- per quintal for other kharif oilseeds namely, Groundnut-in-shell, Sunflowerseed, Soyabean, and Nigerseed. There is an increasing gap between  the demand and domestic supply of pulses and oilseeds  and reliance on import is increasing. Government has, therefore, announced this bonus on pulses and oilseeds to give a strong price signal to farmers to increase acreage and invest for increase in productivity of these crops. The increase in  cultivation of leguminous pulses and oilseeds will also have additional environmental benefits as these crops are less water consuming and help in nitrogen fixation in the soil.   

 The Minimum Support Prices (MSPs) for all Kharif Crops of 2016-17 season have been increased and are given in table below: 

 

 

 

 

Commodity

 

 

 

Variety

 

 

MSP  for

2015-16 Season

MSP

Recom-mended for

2016-17  Season

 

Increase

 

 

 

 

Bonus

 

Absolute

 

 

% age

 

 

Rs/ Quintal

Rs/ Quintal

Rs/ Quintal

%

Rs/ Quintal

Paddy

Common

1410

1470

60

4.3

-

Grade A

1450

1510

60

4.1

-

Jowar

Hybrid

1570

1625

55

3.5

-

Maldandi

1590

1650

60

3.8

-

Bajra

-

1275

1330

55

4.3

-

Maize

-

1325

1365

40

3.0

-

Ragi

-

1650

1725

75

4.5

-

Tur (Arhar) 

-

4625

(includes

Rs.200/-

Bonus)

 

5050

(includes

Rs.425/-

    Bonus)

425

9.2

425

Moong         

-

4850

(includes

Rs.200/-

Bonus)

 

5225

(includes

Rs.425/-

Bonus)

375

7.7

425

Urad                          

-

4625

(includes

Rs.200/-

Bonus)

 

5000

(includes

Rs.425/-

Bonus)

375

8.1

425

Groundnut-in-shell

-

4030

4220

(includes

Rs.100/-

Bonus)

190

4.7

100

Soyabean*

Yellow

2600

2775

(includes

Rs.100/-Bonus)

175

6.7

100

Sunflower Seed

-

3800

3950

(includes

Rs.100/-Bonus)

150

3.9

100

Nigerseed

-

3650

3825

(includes

Rs.100/-Bonus)

175

4.8

100

Sesamum

-

4700

5000

(includes

Rs.200/-Bonus)

300

6.4

200

Cotton

Medium Staple

3800

3860

60

1.6

-

Long Staple

4100

4160

60

1.5

-

 

*MSP of soyabean will be applicable to both yellow and black varieties   

The prices would be effective from 1.10.2016.

Food Corporation of India (FCI) will be the designated central nodal agency for price support operations for cereals, pulses and oilseeds. Cotton Corporation of India (CCI) will be the central nodal agency for undertaking price support operations for Cotton.

Besides increase in Minimum Support Prices (MSP) of Kharif crops, Government has taken several farmer friendly initiatives over the last one year.  These, inter-alia, include the following: 

  • The Government had declared a bonus, over and above the MSP, of Rs 200 per quintal for Kharif pulses of 2015-16 season and a bonus of Rs 75 per quintal for Rabi pulses of 2016-17 marketing season. 
  • A new crop insurance scheme ‘Pradhan Mantri Fasal Bima Yojana’ has been launched by the Government. Under this scheme, the premium rates to be paid by farmers are very low - 2 % of sum insured for all Kharif crops, 1.5% for all Rabi crops and 5 % for commercial and horticulture crops. The new insurance scheme involves use of simple and smart technology through phones & remote sensing for quick estimation and early settlement of claims. The Government has also launched crop insurance portal and Mobile app “Crop Insurance” which will help farmers to find out complete details about insurance cover available in their area and to calculate the insurance premium for notified crops. During kharif 2016-17 season, 24 states have already intiated necessary action for implementation in their state. Out of which, 15 states have already completed the biding tendering process for selection of insurance companies. 
  • The Government has also launched a scheme to develop a pan India electronic trading platform under ‘National Agriculture Market’ (NAM) scheme with the aim to integrate 585 regulated markets with the common e-market platform. Each State is being encouraged to undertake three major reforms - allow electronic trading, have a single license valid throughout the State and a single entry point market fee. It will also enable farmers to discover better prices for their produce. 21 markets in 8 states have already been brought on the e-NAM platform. 
  • Soil Health Cards are being issued to farmers across the country. These will be renewed every two years. The card provides information on fertility status of soil and a soil test based advisory on use of fertilizers. As on May 31st 2016, 191,80 lakh Soil Health Cards have been distributed. 
  • Under Paramparagat Krishi Vikas Yojna (PKVY), the Government is promoting organic farming and development of potential market for organic products. 
  • The Pradhan Mantri Krishi Sinchai Yojana is being implemented with the vision of extending the coverage of irrigation ‘Har Khet ko Pani’ and improving water use efficiency ‘Per Drop More Crop ' in a focused manner with end to end solution on source creation, distribution, management, field application and extension activities. 
  • Government is focusing on improving production and productivity of crops such as rice, wheat, coarse grains and pulses under the National Food Security Mission (NFSM).  For 2016-17, out of the total Central Share of Rs 1700 crore under NFSM, Rs, 1100 crore  has been allocated to improve pulse production.
  • A dedicated Kisan Channel has been started by the Doordarshan to provide 24 x 7 information in the hands of farmers regarding weather updates, agri-mandi data etc.
  • Government is also encouraging formation of Farmer Producer Organisations.
  • To stabilize prices of pulses, Government is creating buffer stocks pulses through both domestic procurement and import. 
  • A handbook for women farmers ‘Farm Women Friendly Hand Book’ containing special provisions and package of assistance which women farmers can claim under various on-going Missions/ Submissions/ Schemes of Department of Agriculture, Cooperation & Farmers Welfare has been brought out. Women farmers/beneficiaries could approach the nearest Project Director (ATMA) / Deputy Director (Agriculture) office at District or Block Technology Manager/Assistant Technology Managers at Block level for instant help and facilitation for availing the benefits.
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Cabinet approves two railway projects in Uttar Pradesh and Andhra Pradesh worth Rs 24,815 crore
April 18, 2026

The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Shri Narendra Modi, today has approved 02 (Two) projects of Ministry of Railways with total cost of Rs. 24,815 crore (approx.). These projects include:

Name of Project

Route Length (in km)

Track Length (in km)

Completion Cost (Rs. in Cr.)

Ghaziabad – Sitapur 3rd and 4th Line

403

859

14,926

Rajahmundry (Nidadavolu) – Visakhapatnam (Duvvada) 3rd and 4th Line

 

198

 

458

 

9,889

Total

601

1,317

24,815

The increased line capacity will significantly enhance mobility, resulting in improved operational efficiency and service reliability for Indian Railways. These multi-tracking proposals are poised to streamline operations and alleviate congestion. The projects are in line with the Prime Minister Shri Narendra Modiji’s Vision of a New India which will make people of the region “Atmanirbhar” by way of comprehensive development in the area which will enhance their employment/ self-employment opportunities.

The projects are planned on PM-Gati Shakti National Master Plan with focus on enhancing multi-modal connectivity & logistic efficiency through integrated planning and stakeholder consultations. These projects will provide seamless connectivity for movement of people, goods, and services.

The 02 (Two) projects covering 15 Districts across the states of Uttar Pradesh and Andhra Pradesh will increase the existing network of Indian Railways by about 601 Kms.

The proposed capacity enhancement will improve rail connectivity to several prominent tourist destinations across the country, including Dudheshwarnath Temple, Garhmukteshwar Ganga Ghat, Dargah Shah Wilayat Jama Masjid (Amroha), Naimisharanya (Sitapur), Annavaram, Antarvedi, Draksharamam, etc.

The proposed projects are essential routes for transportation of commodities such as coal, foodgrains, cement, POL, iron and steel, container, fertilizers, sugar, chemical salts, limestone, etc. The Railways being environment friendly and energy efficient mode of transportation, will help both in achieving climate goals and minimizing logistics cost of the country lowering CO2 emissions (180.31Crore Kg) which is equivalent to plantation of 7.33 Crore trees.

Ghaziabad – Sitapur 3rd and 4th Line (403 Km)

  • Ghaziabad – Sitapur is an existing double line section forming a key part of Delhi- Guwahati High Density Network (HDN 4).
  • The project is crucial for improving connectivity between the Northern and Eastern region of the country.
  • The existing line capacity utilization of the section is up to 168% and is projected to be up to 207% in case the project is not taken up.
  • Transverses through Ghaziabad, Hapur, Amroha, Moradabad, Rampur, Bareilly, Sahjahanpur, Lakhimpur Kheri and Sitapur districts of Uttar Pradesh.
  • The project route passes through major industrial centres - Ghaziabad (machinery, electronics, pharmaceuticals), Moradabad (brassware and handicrafts), Bareilly (furniture, textiles, engineering), Shahjahanpur (carpets and cement-related industries), and Roza (thermal power plant).
  • For seamless transportation, the project alignment is planned to bypass congested stations of Hapur, Simbhaoli, Moradabad, Rampur, Bareilly, Shahjahanpur, and Sitapur and accordingly, six new stations are proposed on the bypassing sections.
  • Key tourist/religious places along/near to the project section are Dudheshwarnath Temple, Garhmukteshwar Ganga Ghat, Dargah Shah Wilayat Jama Masjid (Amroha), and Naimisharanya (Sitapur) among others.
  • Anticipated additional freight traffic of 35.72 MTPA consisting of Coal, Foodgrains, Chemical Manures, Finished Steel, etc.
  • Estimated Cost: Rs.14,926 crore (approx.)
  • Employment generation: 274 lakh human-days.
  • CO2 emissions saved: About 128.77 crore Kg CO2 equivalent to 5.15 Cr trees.

  • Logistic cost saving: Rs. 2,877.46 crore every year vis-a vis road transportation.

Ghaziabad – Sitapur 3rd and 4th Line (403 Km)

Rajahmundry (Nidadavolu) – Visakhapatnam (Duvvada) 3rd and 4th Line (198 Km)

  • Rajahmundry (Nidadavolu) – Visakhapatnam (Duvvada) section forms part of the Howrah – Chennai High Density Network (HDN).
  • The proposed project is part of quadrupling initiative of Howrah – Chennai High Density Network (HDN) route.
  • The project traverses through East Godavari, Konaseema, Kakinada, Anakapalle and Vishakapatnam districts of Andhra Pradesh.
  • Visakhapatnam is identified as an Aspirational District in the Aspirational Districts Programme.
  • It provides connectivity to major ports along the East Coast such as Visakhapatnam, Gangavaram, Machilipatnam and Kakinada.
  • The project route runs along the eastern coastline and is among the busiest, predominantly freight-oriented sections of the East Coast Rail Corridor.
  • The line capacity utilization of the section has already reached up to 130%, leading to frequent congestion and operational delays. The line capacity is expected to increase further due to proposed expansion of ports and industries in the region.
  • Project section includes 4.3 km rail bridge over Godavari River, 2.67 km viaduct, 3 bypasses and the new alignment is around 8 km shorter than the existing route, improving connectivity and operational efficiency.
  • The proposed section will also boost tourism by improving access to key destinations such as Annavaram, Antarvedi and Draksharamam etc.
  • Anticipated additional freight traffic of 29.04 MTPA consisting of Coal, Cement, Chemical Manures, Iron and Steel, Foodgrains, Containers, Bauxite, Gypsum, Limestone, etc.
  • Estimated Cost: Rs.9,889 crore (approx.)
  • Employment generation: 135 lakh human-days.
  • CO2 emissions saved: About 51.49 crore Kg CO2 equivalent to 2.06 Cr trees.

  • Logistic cost saving: Rs. 1,150.56 crore every year vis-a vis road transportation.

 

आर्थिक सशक्तिकरण:

Aspirational districts - Visakhapatnam district will get improved connectivity

Additional economic opportunities in the region through tourism & industries.

Better healthcare and education for the citizens due to enhanced rail connectivity.


Rajahmundry (Nidadavolu) – Visakhapatnam (Duvvada) 3rd and 4th Line (198 Km)

Prime Minister’s focus on railways:

  • Record budget allocation of Rs. 2,65,000 crore for FY 26-27.
  • Manufacturing more than 1600 locomotives- surpassed US and Europe in manufacturing of locomotive production
  • In FY 26, Indian Railways is expected to rank among the top three freight carriers globally, moving 1.6 billion tonnes of cargo.

  • India starts exporting metro coaches to Australia and bogie to United Kingdom, Saudi Arabia, France and Australia.