As per the decision by the Cabinet Committee on Economic Affairs (CCEA) of theGovernment of India in 2023, the MSP for Paddy (Common) has been fixed at_________ higher than the last season.

Correct option is C

• MSP and its Impact:

  • The Minimum Support Price (MSP) is a crucial part of India’s agriculture policy, ensuring that farmers get a guaranteed price for their crops. It helps protect them from price fluctuations in the market.

  • The 7% increase in the MSP for paddy is aimed at enhancing farmers' income and ensuring better profits, especially as they face challenges like unpredictable weather and rising input costs.

• Factors Influencing MSP Increases:

  • The decision to increase MSP is influenced by factors such as inflation, production costs, and global market conditions. The government aims to make sure that the price covers at least 1.5 times the cost of production, which is part of its commitment under the Union Budget of 2018-19.

• Other Kharif Crops' MSP Increases:

  • Along with paddy, the MSPs of other kharif crops like moong and soybean have also been increased significantly. For instance, the MSP for moong has risen by 10.4% for the 2023-24 season.

  • The 7% increase for paddy is part of the government's broader effort to improve the profitability of kharif crop farming.