Rajasthan farmers sell moong below MSP as Govt yet to decide MSP purchase
Moong (green gram) arrivals in Rajasthan's mandis have surged sharply this season, but the government has not yet decided on MSP-based procurement for the crop
Farmers are realising an average price of about ₹7,452 per quintal, roughly 15% below the announced MSP of ₹8,780 per quintal for the 2026-27 kharif marketing season
The absence of a procurement decision has left growers dependent on open-market sale at below-MSP rates during peak arrivals
Additional downward pressure has come from the release of older, previously procured moong stock into the market at lower prices by the central procurement agency
Minimum Support Price (MSP) — Fixation Mechanism
MSP is the floor price the central government commits to pay for specified crops, intended to protect farmers against distress sales when market prices fall below cultivation cost. It is recommended by the Commission for Agricultural Costs and Prices (CACP) and approved by the Cabinet Committee on Economic Affairs (CCEA), but it is not a statutory legal guarantee — MSP announcements do not by themselves create an enforceable right for farmers to sell at that price unless actual government procurement occurs.
The Rajasthan case shows the gap between an announced MSP and a farmer's actual realised price when procurement machinery is not activated in time — MSP alone does not guarantee a floor price without a procurement trigger.
PM-AASHA — Price Assurance Umbrella Scheme
Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA), launched in September 2018, is the umbrella scheme under which the central government supports states in ensuring farmers receive at least the MSP for notified crops, primarily pulses, oilseeds and copra.
Rajasthan's moong growers are caught in the gap between MSP announcement and the PSS approval/activation process — until the government formally decides on procurement, NAFED cannot begin MSP purchases, leaving farmers to sell at prevailing (sub-MSP) mandi rates.
Pulses Self-Sufficiency and India's Import Dependence
India is both the world's largest producer and consumer of pulses, but remains a net importer for certain varieties (notably tur/arhar and urad) due to demand-supply gaps, making domestic price support for pulses like moong a policy tool for encouraging acreage and self-sufficiency.
Key Details
- Government schemes (including a dedicated National Food Security Mission-Pulses component) aim to raise domestic pulses production and reduce import dependence
- Moong is largely self-sufficient domestically compared to tur and urad, which see larger import volumes
- Distress sales below MSP, as seen in Rajasthan, work against the policy goal of incentivising farmers to sustain or expand pulses cultivation
Weak price realisation for moong despite record arrivals undercuts the broader pulses self-sufficiency push, illustrating the tension between production-side incentives (MSP) and the procurement-side execution needed to make them effective.
- MSP for moong, kharif marketing season 2026-27: ₹8,780 per quintal
- Average farmer realisation in Rajasthan mandis: approximately ₹7,452 per quintal (~15% below MSP)
- MSP formula since 2018-19 Budget: at least 1.5 times A2+FL cost of production
- PM-AASHA launched: September 2018; components include PSS, PDPS and PPSS
- Central nodal procurement agencies for pulses: NAFED and NCCF
- MSP currently applies to 22 crops, including moong, tur and urad among pulses