<h2>Overview</h2> <p>The <span class="key-term" data-definition="Supreme Court — the apex judicial body in India with the power to interpret the Constitution and adjudicate disputes (GS2: Polity)">Supreme Court</span> on 13 April 2026 issued a notice in a public interest litigation (PIL) that asks the Union Government to fix the <span class="key-term" data-definition="Minimum Support Price — a price at which the government purchases certain crops to ensure a floor price for farmers; relevant to GS3: Economy and GS2: Polity">MSP</span> at least on the basis of the actual cost of cultivation, known as <span class="key-term" data-definition="C2 — the comprehensive cost of cultivation that includes input costs, imputed family labour, land rent, and interest on working capital; used to assess true farmer cost (GS3: Economy)">C2</span>. The petition, filed under <span class="key-term" data-definition="Article 32 — a provision of the Indian Constitution guaranteeing the right to constitutional remedies for enforcement of fundamental rights; often invoked in PILs (GS2: Polity)">Article 32</span>, was moved by three Maharashtra farmers seeking relief for the distress caused by the prevailing MSP methodology.</p> <h3>Key Developments</h3> <ul> <li>Bench comprising <strong>Chief Justice of India Surya Kant</strong> and <strong>Justice Joymalya Bagchi</strong> heard arguments from <strong>Advocate Prashant Bhushan</strong> on the need to align MSP with the true cost of production.</li> <li>The petitioners argue that the current MSP formula, based largely on <span class="key-term" data-definition="A2+FL — a cost calculation method that adds paid-out input costs (A2) to the imputed value of family labour (FL); currently used for MSP determination (GS3: Economy)">A2+FL</span> multiplied by 1.5, excludes land and capital costs, leading to prices below the farmer's actual outlay.</li> <li>Data cited in the petition indicate over 17,000 farmer suicides in Maharashtra alone in the last five years, underscoring the urgency of the issue.</li> <li>The Court noted practical difficulties in assessing land‑value and interest components, which vary across states.</li> <li>Justice Bagchi warned that the relief sought could amount to a re‑writing of economic policy, prompting a careful balancing of judicial intervention and fiscal prudence.</li> </ul> <h3>Important Facts</h3> <p>The petition defines <span class="key-term" data-definition="procurement — the process of purchasing agricultural produce by the government at MSP to support farmers (GS3: Economy)">procurement</span> at MSP as significant only for wheat and rice, while most other crops remain unprocured even at declared MSP levels. It also highlights that the subsidised distribution of wheat and rice under the <span class="key-term" data-definition="Food Security — government programmes ensuring adequate food availability at affordable prices, often through subsidised grain distribution (GS3: Economy)">Food Security</span>