Minimum Support Price (MSP) for 22 Crops in India 2025–26

Government of India announces MSPs for 22 mandated crops including Paddy, Wheat, Pulses, Oilseeds, Cotton, Jute, and Copra — with details on procurement, farmer benefits, PM-KISAN, PMFBY, MISS, and AIF.

On 19th August 2025, the Minister of State for Agriculture and Farmers Welfare, Shri Ramnath Thakur, in a written reply to the Lok Sabha, provided updated information on the Minimum Support Price (MSP) and other major farmer welfare measures.

Every year, the Government fixes MSPs for 22 mandated agricultural crops across the country. This is done based on the recommendations of the Commission for Agricultural Costs & Prices (CACP), after considering the views of State Governments and other Central Ministries/Departments. The MSP system acts as a price guarantee ensuring that farmers receive a remunerative return on their produce, protecting them from distress sales.

Digital Payments and Loan Waivers

The Government has implemented a digital payment system for MSP procurement to ensure transparency and efficiency. At present, no scheme for loan waiver is in operation under the Department of Agriculture & Farmers Welfare. Instead, the Government provides structured support through a range of schemes to address farmers’ financial vulnerabilities.

Support Schemes for Farmers

1. Minimum Support Price (MSP):

   • The 22 MSP-mandated crops are divided into:

     • Kharif Season (14 crops): Paddy, Jowar (Hybrid & Maldandi), Bajra, Maize, Ragi, Tur/Arhar, Moong, Urad, Groundnut, Soyabean (Yellow), Sunflower seed, Sesamum, Nigerseed, Cotton (Medium & Long Staple).

     • Rabi Season (6 crops): Wheat, Barley, Gram (Chana), Masur (Lentil), Rapeseed & Mustard, Safflower.

     • Commercial Crops (2 crops): Jute, Copra (Milling & Ball Copra; de-husked coconut linked with copra MSP).

       
       

   • Procurement during 2024–25 (July–June):

     • Total procurement: 1,175 Lakh Metric Tonnes (LMT)

     • MSP amount paid to farmers: ₹3.33 lakh crore

     • Number of farmers benefitted: 1.84 crore farmers

Note: Procurement means the Government buying directly from farmers at MSP, and “benefitted farmers” refers to those whose produce was purchased under MSP.

2. Pradhan Mantri Kisan Samman Nidhi (PM-KISAN):

   • Launched in February 2019 as a Central Sector Scheme (funded entirely by the Union Government).

   • Provides ₹6,000 per year to every landholding farmer in three equal instalments through Direct Benefit Transfer (DBT) into Aadhaar-seeded bank accounts.

   • Ensures absolute transparency in beneficiary registration and verification.

   • Till date, over ₹3.69 lakh crore has been disbursed through 19 instalments.

3. Pradhan Mantri Fasal Bima Yojana (PMFBY):

   • Introduced in Kharif 2016, it is an agricultural insurance scheme to protect farmers against crop loss/damage due to natural calamities, adverse weather, or pests.

   • Since inception, farmers have paid ₹35,753 crore as total premium.

   • Claims paid to farmers stand at ₹1.83 lakh crore (as of 30th June 2025) — nearly five times the premium collected.

4. Modified Interest Subvention Scheme (MISS):

   • A 100% centrally funded scheme to provide concessional interest rates on short-term agricultural loans via Kisan Credit Cards (KCCs).

   • These loans help farmers meet working capital needs at subsidized rates.

   • Fund disbursement under MISS over the last five years:

     • 2020–21: ₹17,789.72 crore

     • 2021–22: ₹21,476.93 crore

     • 2022–23: ₹17,997.88 crore

     • 2023–24: ₹14,251.92 crore

     • 2024–25: ₹17,811.72 crore

5. Agriculture Infrastructure Fund (AIF):

   • Launched in 2020 under the Atmanirbhar Bharat initiative, AIF is a financing facility for medium- and long-term loans to build agricultural infrastructure.

   • Aims to strengthen post-harvest management (like cold storages, warehouses, grading units) and community farming assets.

   • Loan provision: ₹1 lakh crore (with interest capped at 9%).

   • As of 30th June 2025:

     • ₹66,310 crore sanctioned for 1,13,419 projects.

     • Mobilized a total investment of ₹1,07,502 crore.

     • Major sanctioned projects include:

       • 30,202 Custom Hiring Centres (machinery rentals for small farmers)

       • 22,827 Processing Units

       • 15,982 Warehouses

       • 3,703 Sorting & Grading Units

       • 2,454 Cold Stores

       • ~38,251 other post-harvest management and farm assets.

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