Indian Government Raises Wheat Minimum Support Price by ₹25 per Quintal

The Indian government has increased the Minimum Support Price (MSP) for wheat by ₹25 per quintal, setting it at ₹2,610 per quintal for the 2027-28 rabi marketing year. This decision was made at a Cabinet meeting chaired by Prime Minister Narendra Modi and based on recommendations from the Commission for Agricultural Costs & Prices (CACP). The MSP proposal also included five other rabi crops.

The estimated production cost of wheat is ₹1,264 per quintal, while the new MSP has been fixed at more than twice that amount. This means that farmers will receive a higher price for their wheat, which should help to boost their income. The Cabinet also approved higher MSPs for other rabi crops, including barley, gram, masur, rapeseed and mustard, and safflower.

The government estimates that the total payout to farmers will be around ₹90,962 crore for an estimated 324 lakh tonnes of these crops during the 2027-28 marketing year. The Agriculture Ministry has set a wheat production target of 121 million tonnes for the 2026-27 crop year. Wheat is the country's major rabi crop, with sowing generally beginning in October and harvesting starting in April.