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MSP & Procurement

MSP & Procurement (Agriculture).

Syllabus: UPSC Pre GS1: Economic & Social Development; Mains GS3

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In the news

GS3 · Agriculture

Ramesh Chand committee to examine sugarcane farmers’ and sugar sector issues

On 14 October 2026 the Centre set up a committee under Prof. Ramesh Chand, former NITI Aayog Member, on issues raised by sugarcane farmers. It will examine returns to cane growers, the ex-mill Minimum Selling Price of sugar, how sugar recovery is tested, weighment at mills, and deductions on mechanically harvested cane.

UPSC angle: Prelims: chair, terms of reference, ex-mill MSP of sugar. · Mains GS-III: cane pricing, sugar sector economics, farm incomes.

14 Oct 2026
GS3 · Agriculture (procurement, value chains)

Cotton Corporation of India showcases procurement reforms: digital slot booking, traceability, Kasturi Cotton

The Textiles Ministry, through the Cotton Corporation of India, held a reform showcase in Hyderabad on 6 October 2026 under Reform Utsav 2026. It covered the Kapas Kisan digital platform for registration, slot booking and Aadhaar-enabled payments, traceability and the Kasturi Cotton Bharat brand, and the High-Density Planting System to lift yields.

UPSC angle: Prelims: CCI, Kasturi. · Mains GS-III: MSP procurement, textiles.

4 Oct 2026
GS3 · Agriculture (MSP)

Rabi MSP 2027-28: safflower gets the biggest hike, wheat ₹2,610

On 30 September 2026 the CCEA approved Minimum Support Prices for Rabi crops for marketing season 2027-28. Wheat MSP is ₹2,610 a quintal, up ₹25. Safflower got the largest increase, ₹675, followed by rapeseed and mustard at ₹413. Expected margins over cost range from 50 per cent for safflower to 106 per cent for wheat.

UPSC angle: Prelims: which crops are Rabi mandated crops; cost concept used. · Mains: Is MSP-led diversification towards pulses/oilseeds working?

30 Sep 2026
GS3 · Food security, cooperatives

Decentralised grain storage plan through PACS: backgrounder

A PIB backgrounder of 3 September 2026 explains the Decentralised Grain Storage Plan in Cooperative Sector, rolled out as a pilot on 31 May 2023. It builds godowns and other facilities at Primary Agricultural Credit Societies by joining existing schemes. By July 2026, 1012 PACS had been identified and godowns completed in 313, creating more than 1.80 LMT of storage.

UPSC angle: Prelims: PACS role.

3 Sep 2026
GS3 · Agriculture

Backgrounder: PM-AASHA for MSP price support

A PIB Backgrounder of 21 August 2026 explains PM-AASHA, launched in September 2018 as the umbrella for MSP-based price support. It has four parts: the Price Support Scheme, the Price Stabilisation Fund, the Price Deficiency Payment Scheme and the Market Intervention Scheme. Its budget rose to ₹7,200 crore in 2026-27, from ₹5437.99 crore spent in 2024-25.

UPSC angle: Prelims: PM-AASHA components.

21 Aug 2026
GS3 · Food prices

Onion procurement price for buffer raised 13% to ₹2,125/quintal

From 4 July 2026 the Government raised the price at which it buys onions for the Price Stabilisation Buffer by 13%, from ₹1,875 to ₹2,125 per quintal. NAFED and NCCF are procuring. Production for 2025-26 is estimated at 307.37 lakh tonnes, so supply is not a worry, but traders are buying on monsoon fears.

UPSC angle: Prelims: PSF.

4 Jul 2026