The Government Wednesday announced 6 per cent hike in support price of wheat at ₹1,840 per quintal, a move that will give farmers an additional income of ₹ 62,635 crore and help contain their simmering discontent over high input cost and low sales realisation.

The Cabinet Committee on Economic Affairs (CCEA) headed by Prime Minister Narendra Modi approved higher minimum support price (MSP) for winter-sown or Rabi crops.

The decision will help farmers earn an additional income ₹62,635 crore, Law Minister Ravi Shankar Prasad told reporters here after the meeting.

The decision comes within months of announcing higher price for Kharif crops, when the government fulfilled its promise of giving farmers 50 per cent more price than their cost of production.

The Cabinet has approved a ₹105 per quintal hike in wheat MSP to ₹1,840 for 2018-19 season, Agriculture Minister Radha Mohan Singh said.

The MSP of wheat was ₹1,735 per quintal in the 2017-18 crop year.

Singh said the MSP for all Rabi crops is higher than the cost of production ranging from 50-112 per cent.

As per the CCEA decision, the MSP of barley has been increased by ₹30 per quintal to Rs 1,440 per quintal, while that of gram (Chana) by ₹220 per quintal to ₹ 4,620 per quintal.

Masur’s MSP has been raised by ₹225 to ₹4,275 per quintal, while the support price of rapeseed/mustard has been hiked by ₹200 to ₹4,200 per quintal. Safflower MSP has been increased by ₹ 845 per quintal to ₹ 4,945.

The support price has been increased based on the recommendations of farm advisory body CACP (Commission for Agricultural Costs and Prices) and is in line with the government’s announcement to provide farmers a 50 per cent profit over the cost of production.

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