Cabinet approves Rs 5,650 per quintal MSP for raw jute for 2025-26 season
The Cabinet Committee on Economic Affairs (CCEA), chaired by the Prime Minister Narendra Modi, has approved the Minimum Support Prices (MSP) of Raw Jute for Marketing season 2025-26, as per an official release.
ANI
Jan 22, 2025 15:34 IST
New Delhi [India], January 22 (ANI): The Cabinet Committee on Economic Affairs (CCEA), chaired by the Prime Minister Narendra Modi, has approved the Minimum Support Prices (MSP) of Raw Jute for Marketing season 2025-26, as per an official release.
The MSP of Raw Jute (TD-3 grade) has been fixed at Rs 5,650 per quintal for 2025-26 season. This would ensure a return of 66.8 percent over the all India weighted average cost of production.
Addressing the Cabinet Briefing, Union Minister Piyush Goyal stated that CCEA that Minimum Support Price (MSP) for raw jute for the marketing season 2025-26, has been increased to Rs 5,650 per quintal, marking a 6 percent rise compared to the previous year.
As per the Union Minister, the decision to increase the MSP will directly benefit approximately 1.70 lakh farmers involved in jute cultivation and positively impact around 40 lakh families linked to the jute farming sector.
The move is seen as a critical step in ensuring better income stability for jute farmers and improving the financial sustainability of the jute industry.
The approved MSP of raw jute for Marketing season 2025-26 is in line with the principle of fixing MSP at a level of at least 1.5 times all India weighted average cost of production as announced by the Government in the Budget 2018-19.
The MSP of Raw Jute for Marketing season 2025-26 is an increase of Rs.315 per quintal over the previous Marketing season 2024-25. Government of India has increased MSP of Raw jute from Rs 2400 per quintal in 2014-15 to Rs.5,650 per quintal in 2025-26, registering an increase of Rs 3250 per quintal (2.35 times).
The MSP amount paid to Jute growing famers during the period 2014-15 to 2024-25 was Rs 1300 Crore while during the period 2004-05 to 2013-14, amount paid was Rs 441 Crore.
Livelihood of 40 Lakh farm families directly or indirectly depends on Jute Industry. About 4 Lakh workers get direct employment in Jute mills and trade in Jute, the release added.
Last year jute was procured from 1 Lakh 70 thousand farmers. 82 per cent of Jute farmers belong to West Bengal while rest Assam and Bihar have 9 per each of jute production share.
The Jute Corporation of India (JCI) will continue as Central Government Nodal Agency to undertake Price Support Operations and the losses incurred, if any, in such operations, will be fully reimbursed by the Central Government, as per the release. (ANI)
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