The Government on Wednesday (May 13, 2026) announced a hike in the Minimum Support Price (MSP) for paddy by ₹72 to ₹2,441 per quintal for the 2026-27 kharif marketing season, while steeper increases for pulses, oilseeds and cotton aimed at reducing import dependency and encouraging crop diversification.

The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, approved MSPs for 14 kharif crops ahead of sowing, which typically begins in June with the onset of the southwest monsoon.

For paddy, the MSP for common and A-grade varieties stands at ₹2,441 and ₹2,461 per quintal, respectively for 2026-27 kharif marketing season (September-October).

The MSP for cotton (medium staple) has been raised by ₹557 to ₹8,267 per quintal, while the long staple variety will fetch ₹8,667 per quintal, the second-highest absolute increase among all crops.

The highest absolute increase, however, has been recommended for sunflower seed at ₹622 per quintal, taking its MSP to ₹8,343 per quintal.

Nigerseed (up ₹515 to ₹10,052/qtl) and sesamum (up ₹500 to ₹10,346/qtl) also received significant increases.

Among other oilseeds, soyabean (yellow) was raised by ₹380 to ₹5,708 per quintal and groundnut by ₹254 to ₹7,517 per quintal.

In pulses, tur (arhar), MSP was raised by ₹450 to ₹8,450 per quintal, urad by ₹400 to ₹8,200 per quintal, while moong saw a marginal increase of ₹12 to ₹8,780 per quintal.

For other cereals, jowar (hybrid) MSP has been fixed at ₹4,023 per quintal (up ₹324), with the Maldandi variety at ₹4,073 per quintal.

Bajra has been raised by ₹125 to ₹2,900 per quintal, ragi by ₹319 to ₹5,205 per quintal, and maize by ₹10 to ₹2,410 per quintal.

Briefing reporters, Information and Broadcasting Minister Ashwini Vaishnaw said the MSPs have been fixed to ensure remunerative prices for farmers and are at least 50% above the cost of production across all 14 crops.

The margins are estimated to be highest for moong (61%), followed by bajra and maize (56% each) and tur/arhar (54%).

For the remaining crops, the margin is pegged at 50%. The Government estimates the total payout to farmers at ₹2.60 lakh crore, with annual procurement projected at 824.41 lakh tonne.

Indian Vegetable Oil Producers' Association (IVPA) president, Sudhakar Desai welcomed the MSP hike for oilseeds but reiterated the need for stable and dynamic import duty framework that can respond to changing global price cycles, domestic crop economics and inflationary trends.