Wheat MSP hiked by Rs 25 to Rs 2,610 per quintal for 2027-28: What it means for farmers
PTC Web Desk: The Union Cabinet on Wednesday approved an increase in the Minimum Support Price (MSP) of wheat by Rs 25 per quintal, taking the rate to Rs 2,610 per quintal for the 2027-28 Rabi Marketing Season.
The decision, taken at a Cabinet meeting chaired by Prime Minister Narendra Modi on Wednesday, covers wheat along with five other major Rabi crops. Information and Broadcasting Minister Ashwini Vaishnaw announced the new rates after the meeting.
The wheat MSP for the 2026-27 marketing season stood at Rs 2,585 per quintal.
MSP increased for six Rabi crops
The Cabinet has also revised the support prices of barley, gram, masur, rapeseed-mustard and safflower.
Wheat: Rs 2,610 per quintal, up from Rs 2,585
Barley: Rs 2,286, up from Rs 2,150
Gram: RS 5,958, up from Rs 5,875
Masur: Rs 7,390, up from Rs 7,000
Rapeseed/Mustard: RS 6,613, up from Rs 6,200
Safflower: Rs 7,215, up from Rs 6,540
The largest increase among the six crops is for safflower, with its MSP rising by Rs 675 per quintal. Masur follows with an increase of Rs 390, while rapeseed and mustard see a Rs 413 hike.
Govt estimates Rs 90,962 cr payout
According to the government, the total MSP payout for the six Rabi crops is estimated at Rs 90,962 crore, covering around 324 lakh tonne for the 2027-28 marketing season.
The revised prices have been announced ahead of the Rabi sowing season, when farmers begin preparing to plant winter crops.
What is the production cost of wheat?
Vaishnaw said the government's estimated production cost of wheat is Rs 1,264 per quintal, while the new MSP has been fixed at Rs 2,610.
The government follows a policy of keeping MSPs at least 50% above the all-India weighted average cost of production for mandated crops.
For comparison, the government had put the wheat production cost at Rs 1,239 per quintal and MSP at Rs 2,585 for the 2026-27 Rabi Marketing Season.
Wheat remains the key Rabi crop
Wheat is India's principal Rabi crop. Sowing generally begins around October, while harvesting starts from April.
The Agriculture Ministry has set a wheat production target of 121 million tonne for the 2026-27 crop year, which runs from July to June.
The MSP revision comes as the government factors in recommendations of the Commission for Agricultural Costs and Prices (CACP), along with production costs and domestic and global market conditions.
The new MSP rates will apply to the 2027-28 Rabi Marketing Season, covering the crop that farmers sow during the upcoming Rabi cycle.
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