Who Actually Gets India's Minimum Support Price? | MSP Explained
Автор: UPSC Factory
Загружено: 2026-11-04
Просмотров: 94
Описание:
Every year, in two big rounds, India's Cabinet announces a minimum support price (MSP) for 22 crops: for 2026–27, ₹2,441 a quintal for paddy and ₹8,780 for moong. Yet no central law makes a trader pay it, and a farmer cannot claim it as a right; only sugarcane has a legal floor. This explainer follows where MSP came from in the food crisis of the mid-1960s, how the price is set and the fight over which cost it should cover, and who actually sells at it: by our calculation, at most about one farm household in five, mostly paddy and wheat growers. Then it traces the demand for a legal guarantee from the 2020 protests to the Supreme Court, sets out the farmers' case, the critics' case and the WTO's limits, and the options already on the table. As of the latest hearing reported (August 2026), the petitions were still pending and no MSP law had been passed.
⏱️ Chapters
0:00 Two prices: a packet and a quintal
0:51 The one crop with a legal floor
1:29 Born in a hunger crisis
2:21 Who sets the price
3:24 The formula fight: which cost?
4:28 Two tracks of buying
5:21 Who actually gets MSP?
6:07 Why most farmers miss out
7:12 From farm laws to a committee
8:02 Marches, a fast and the Supreme Court
9:06 What would a legal guarantee do?
10:00 The farmers' case
11:01 The case against, and the WTO catch
12:05 Is there a middle path?
13:07 What to watch next
📚 Sources
• Kharif MSPs for 2026–27 (paddy, moong, maize, cotton): Cabinet decision, PIB, 13 May 2026
https://www.pib.gov.in/PressReleasePa...
• Sugarcane's legal floor: Sugarcane (Control) Order, 1966, Department of Food & Public Distribution
https://dfpd.gov.in/WriteReadData/Ord...
• Paddy's A2+FL and C2 costs: CACP, Price Policy for Kharif Crops, Marketing Season 2026–27 (Table 5.4)
https://cacp.da.gov.in/Document/Engli...
• Procurement, payments and farmers reached: PIB, 10 Oct 2025
https://www.pib.gov.in/PressReleseDet...
• The MSP committee's record: Newslaundry (RTI reply), 8 Jul 2026
https://www.newslaundry.com/2026/07/0...
• The MSP petitions in the Supreme Court: The Tribune, 19 Aug 2026
https://www.tribuneindia.com/news/ind...
• What a guarantee might cost: CRISIL's estimate, via Business Today, 14 Feb 2024
https://www.businesstoday.in/latest/e...
• Amber Box and Green Box: World Trade Organization
https://www.wto.org/english/tratop_e/...
📊 Figures are rounded; a quintal is 100 kg. "At most about one in five" is our calculation from two counts in different units and years (1.84 crore farmers reached in 2024–25, PIB; about 9.3 crore farm households in 2018–19, NSS). The C2 + 50% sums are our arithmetic on the CACP's own cost table, and "C2 + 50%" is how farmers' groups read the Swaminathan Commission. Estimates and claims carry who made them: CRISIL; unnamed official sources; the Supreme Court panel's interim report, as reported; farmers' testimony to that panel; industry body SEA; Amul. Facts as of 1 Nov 2026.
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