The Union Cabinet on Tuesday approved a hike in the Minimum Support Price (MSP) of raw jute by Rs 275 to Rs 5,925 per quintal for the marketing season 2026-27.
The decision was taken by the Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, in its first meeting at the Prime Minister's new office, Seva Teerth.
The new MSP will ensure a return of 61.8 per cent over the all-India weighted average cost of production.
"The announced MSP of raw jute for Marketing season 2026-27 is in line with the principle of fixing MSP at a level of at least 1.5 times the all-India weighted average cost of production as announced by the Government in the Budget 2018-19," Information and Broadcasting Minister Ashwini Vaishnaw told reporters after the meeting.
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The MSP of raw jute for the marketing season 2026-27 is an increase of Rs 275 per quintal over the previous marketing season 2025-26, he added.
The government has increased the MSP of raw jute from Rs 2,400 per quintal in 2014-15 to Rs 5,925 per quintal in 2026-27, registering an increase of Rs 3,525 per quintal (2.5 times), he noted.
The MSP amount paid to jute growing farmers during the period 2014-15 to 2025-26 was Rs 1,342 crore, while during the period 2004-05 to 2013-14, it was Rs 441 crore.
The Jute Corporation of India (JCI) will continue as the Central Government nodal agency to undertake price support operations, and the losses incurred, if any, in such operations, will be fully reimbursed by the Centre.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
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