It is important to set up a minimum support price because it will definitely help the farmers of the country who are struggling in order to sell their products because of the fraudulent practices that are often used by middlemen.
The farmers are provided security through the Government of India and through this security they are often provided with a minimum support price which is needed to be paid by each and every person who is buying any agricultural commodity from any farmer in the country.
You can check out the details related to Minimum Support Price 2022-23 from the article provided below and we will also share with you all the tables to check the price list and the covered crop details.
Minimum Support Price- MSP
The Minimum Support Price or MSP is the minimum price which is set by the government of India for certain agricultural products so that the farmers can be saved from fraudulent practices which take place by middlemen in the country.
The farmers will get various benefits through the development of the minimum support price and this is directly set by the government of India taking into consideration the prices of the agricultural products presented by the farmers of the country.
You can buy the crops from the farmers by taking into consideration the minimum support price and the Central Government also hiked the MSP on 9th September 2021. You have to make sure that you are not exploiting the rights of the farmers.
Tags:- minimum support price upsc, minimum support price project class 12, minimum support price in india, minimum support price project class 12 pdf, minimum support price project pdf, minimum support price ppt, minimum support price economics, what is minimum support price in agriculture.
Objective Of Minimum Support Price
The main objective of the minimum support price is to support the farmers from distress sales because many times the middleman will try to buy the products from farmers at a very low price which can result in exploitation of the rights of the farmers in the country.
The minimum support price is set twice a year for 24 commodities by the government of India in order to protect the farmers against the fall in prices in case of bumper production. There are various factors that will be considered by the Indian government in order to set the minimum support price for the farmers of the state because it is definitely a major decision with respect to the earnings of the farmers of the country.
Factors Affecting The MSP
You can check out the details related to the factors affecting the minimum support price from the pointers given below:-
- The entire structure of the economy of a particular commodity or group of commodities
- Cost of production
- Changes in input prices
- Input-output price parity
- Trends in market prices
- Demand and supply
- Inter-crop price parity
- Effect on industrial cost structure
- Effect on the cost of living
- Effect on the general price level
- International price situation
- Parity between prices paid and prices received by the farmers
- Effect on issue prices and implications for subsidy
The following crops are included while setting up the minimum support price and these prices will be respected all throughout the country:-
|Oilseeds||Groundnutrapeseed/mustardSoybeanToriaSesamumSunflower seedSafflower seedNigerseed|
|Sugarcane (fair and remunerative price)|
|Virginia flu-cured (VFC) tobacco|
Minimum Support Prices – Fixed by Government
You can check out the minimum support prices which are fixed by the government on the basis of Rs per quintal from the table given below:-
|Rapeseed & Mustard||–||1850||2500||3000||3050||3100||3350||3700*||4000*||4200||4425||4650||5050|
|DE-HUSKED COCONUTCalender Year)||1200||1200||1400||1425||1425||1500||1600||1760||2030||2571||2700||2800|