News Capsule: MSP Announced for Rabi 2026-27 Season: Big ₹160 Hike in Wheat, Moderate Increase in Other Crops – What Will Be the Market Impact?
01-Oct-2025 03:54 PM
MSP Announced for Rabi 2026-27 Season: Big ₹160 Hike in Wheat, Moderate Increase in Other Crops – What Will Be the Market Impact?
★ The Central Government has announced the Minimum Support Prices (MSP) for the Rabi Marketing Season 2025-26. This time, wheat has received a significant hike, while gram (chana), lentil (masoor), mustard, and other crops have seen moderate increases.
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New MSP Rates (Rabi 2026-27):
★ Wheat: ₹2,425 to ₹2,585 per quintal (₹160 or 6.6% increase)
★ Gram (Chana): ₹5,650 to ₹5,875 per quintal (₹225 or 4% increase)
★ Mustard: ₹5,950 to ₹6,200 per quintal (₹250 or 4.2% increase)
★ Lentil (Masoor): ₹6,700 to ₹7,000 per quintal (₹300 or 4.5% increase)
★ Barley: ₹1,980 to ₹2,150 per quintal (₹170 increase)
★ Safflower: ₹5,940 to ₹6,540 per quintal (₹600 increase)
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Crop-wise Impact
Wheat – Major Beneficiary:
★ This ₹160 hike in wheat MSP is being seen as a strong relief measure for farmers. Experts believe it will encourage higher acreage and ensure better returns over the cost of cultivation. The price support is likely to lend upward momentum to wheat prices in the coming months.
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Gram, Lentil, and Mustard – Moderate Increase:
★ The 4–4.5% rise in MSP for these pulses and oilseeds is seen as a mild relief. Price reactions may remain limited since the increase is modest and market rates are already hovering close to production costs.
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Barley – Average Hike:
★ The ₹170 hike in barley MSP is moderate, but it could still lend some support to local market prices.
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Safflower – Big Jump, Limited Impact:
★ Though safflower MSP has been raised by ₹600, its overall production is quite low in India. Hence, the increase is unlikely to have a visible market impact, as price movements in this crop often go unnoticed.
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Overall:
★ Wheat emerges as the biggest gainer in this MSP revision. The government’s focus on increasing wheat’s MSP highlights its intent to boost sowing and ensure food security, while maintaining price stability across pulses and oilseeds with moderate revisions.