Overview
The Minister of Agriculture and Farmers Welfare, Shivraj Singh Chouhan, addressed the Rajya Sabha on Friday, December 5, 2025, regarding the government's policies on Minimum Support Price (MSP) for crops. He asserted that the NDA government has not only fixed the MSP at double the cost of production but has also increased procurement four-fold compared to the UPA government. This statement sparked a debate on the effectiveness of the government's agricultural policies and their impact on farmers.
Key Developments
Government's Claims
- Increased MSP: Mr. Chouhan stated that the Modi government, in 2019, decided to accept the Swaminathan Commission's recommendations and offer MSP with a 50% margin over the production cost.
- Enhanced Procurement: He claimed that crop procurement has increased four-fold under the NDA regime compared to the 10 years of UPA rule (2004–2014).
- Specific Examples:
- Paddy: MSP increased from ₹1,310 (UPA in 2013–14) to ₹2,369 under the Modi government.
- Jowar: Procurement price increased from Rs 1,500 (UPA) to ₹3,699 under the NDA.
- Procurement of Pulses: The government has decided to buy 100% of the production of tur, masur, and urad.
- Market Intervention Scheme (MIS): The government is purchasing tomato, potato, onion, apples, grapes, red chillies, and ginger under the MIS.
Opposition's Concerns
- Legal Guarantee for MSP: Congress MP Mukul Balkrishna Wasnik questioned whether the government was considering a law to provide a legal guarantee for MSP.
- Farmer Suicides and Debt: Mr. Wasnik claimed that 1,12,000 farmers have committed suicide, and farm debt has piled up to ₹28.5 lakh crore during the 11 years of NDA rule.
- Unfulfilled Promises: He pointed out that PM Modi announced in Maharashtra on November 15, 2024, that soybean would be purchased at an MSP of ₹6,000 per quintal, but this price has not been offered yet.
- Karnataka Crop Procurement Norms: Mr. Chouhan accused the Congress-ruled Karnataka government of violating crop-procurement norms.
- Unpaid Dues to Kerala: CPI(M) MP John Brittas asked whether Rs 1,206.69 crore remains unpaid to Kerala by the Centre for paddy procurement since 2017–18.
Exam Relevance
This news article is highly relevant for the UPSC Civil Services Exam, particularly for GS Paper 3 (Economy) and GS Paper 2 (Government Policies). It covers critical aspects of agricultural policy, including MSP, procurement, farmer welfare, and government interventions. Understanding the nuances of these issues is essential for answering questions related to agriculture, food security, and rural development.
Key Concepts for UPSC
- Minimum Support Price (MSP): A government intervention to protect farmers from price fluctuations.
- Swaminathan Commission: Recommendations on improving the condition of farmers.
- Procurement: The process of the government buying agricultural produce from farmers.
- Market Intervention Scheme (MIS): A scheme to support farmers of perishable commodities.
Potential Exam Questions
- Evaluate the effectiveness of MSP in addressing farmer distress and ensuring food security.
- Analyze the impact of government procurement policies on agricultural production and market dynamics.
- Critically examine the claims of increased farmer suicides and farm debt.
- Discuss the challenges and opportunities in expanding the coverage of MSP.
Conclusion
The debate surrounding MSP and agricultural policies remains a crucial topic for the UPSC exam. Understanding the government's perspective, the opposition's concerns, and the underlying economic factors is essential for a comprehensive understanding of the agricultural sector in India.