Farmers sell pulses at a loss as wholesale prices dip below MSP

 Wholesale prices of just harvested kharif pulses have dropped below the government’s minimum support prices (MSP) despite a lower crop output, forcing farmers to sell their produce at a loss in states such as Rajasthan.

For instance, price data from wholesale markets available on the Agmarket website showed that on Monday, farmers in Ajmer sold moong (green gram) at an average price of Rs4,050 per quintal, 27% lower than the government announced minimum support price (MSP) of Rs5,575 per quintal. Further, wholesale prices of moong are also 29% lower than the costs of production (including imputed rent and interest costs on owned land and capital) at Rs5,700 per quintal calculated by the Commission for Agricultural Costs and Prices (CACP) under the agriculture ministry.
Read more