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What is MSP - Minimum Support Price

Minimum Support Price is a safety net given to the farmers to ensure guaranteed prices and assured markets. The MSP-based procurement system is aimed to save the crops from price fluctuations due to various unwarranted factors such as the monsoon, lack of market integration, information asymmetry and other elements of market imperfection plaguing Indian agriculture.

However, currently MSP does not have any legal backing. The three new farm laws also do not have any provision for MSP.

The prices of agricultural commodities often vary due to various factors. If a crop has seen good harvest season during a particular year, it may see a sharp fall in its prices. This will lead to farmers withdrawing from sowing the crop in the next year which will affect the supply. To counter this, MSP is fixed by the government which is supposed to encourage higher investments and production of crops

The MSP is fixed twice a year on the recommendations of the Commission for Agricultural Costs and Prices (CACP), which is a statutory body and submits separate reports recommending prices for kharif and rabi seasons.

The CACP submits its recommendations to the government in the form of Price Policy Reports every year, separately for five groups of commodities namely kharif crops, rabi crops, sugarcane, raw jute and copra.

After considering the report and views of the state governments and also keeping in view the overall demand and supply situation in the country, the central government takes the final decision.

Currently, MSP for 23 crops is recommended by CACP, which comprise seven cereals (paddy, wheat, maize, sorghum, pearl millet, barley and ragi), five pulses (gram, tur, moong, urad, lentil), seven oilseeds (groundnut, rapeseed-mustard, soyabean, sesamum, sunflower, safflower, nigerseed), and four commercial crops (copra, sugarcane, cotton and raw jute).

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Traders exploit farmers in Bihar & ferry paddy Punjab & Haryana to sell their crops where they find it economical despite of transportation costs. If ‘MSP thi, hai aur rahegi’, why would farmers take risk of smuggling to other states! India asks to Prime Minister Narendra Modi ?

Legalized MSP - Farmers Right

Myth - Govt. Needs 17 lakh crores for MSP

Reality - Traders ,Procurement agencies ,Exporters,Food Processors ,will buy food grains at MSP.there won't be any burden on govt.

Legalized MSP is our core demand and we will fight till its fulfilled. MSP is one of the critical elements to save farmers & farming.- Farmers

MSP - minimum support price for crops.

Farmers who grow bajra have lost Rs. 40 crores. Look at the difference between the MSP (Rs. 2150) and the price farmers actually get for the produce, together with the reality of MSP!

Here is an example why MSP is required

Since there is no assured pricing system for vegetables, farmers are at the mercy of fluctuations in the open market. That is why we hear stories of farmers selling onions/tomatoes at Rs 1/kg to the trader and the consumer paying Rs 30-Rs 80 for it.#MSPlaw_FarmersRight pic.twitter.com/2w24CAfVR7
— ✍︎ ਰੁਪਿੰਦਰ ਸਿੰਘ ✍︎ (@rupindr79) November 23, 2021

Every crop should be eligible for MSP. Farmers require assurance from that the input costs will be covered., this will automatically lead to diversification. Empower small farmers, Grant MSP!"

This agitation will not end unless the MSP is legalised and the government accepts all other demands. Loud and Clear!! farmers are not going anywhere.

MSP based on the comprehensive cost of production (C2+50%) should be made a legal entitlement for all farmers agricultural produce, so that every farmer of the country can be guaranteed at least the MSP announced by the government for their entire crop

MSP protects the farmers and also the Indian agriculture in situations where crops price fall down. If the farmers will be protected, they will keep up the agriculture in our nation..!!

MSP should be a legal right of farmers and once minimum support price will be fixed, no corporations can ever exploit the farmers. Thanks to the farmers for bringing awareness about MSP in all states.

Farmers are the backbone of our country.
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