Rabi MSPs for 2027-28: Wheat Gets Only ₹25 More, Oilseeds and Pulses Get Bigger Hikes
On 30 September 2026, the Cabinet Committee on Economic Affairs (CCEA) approved higher Minimum Support Prices (MSPs) for all six rabi (winter-sown) crops for the Rabi Marketing Season 2027-28.
Wheat got the smallest rise: ₹25 per quintal (just 25 paise per kg), from ₹2,585 to ₹2,610 per quintal, an increase of under 1%. The previous year's increase had been about 6.6%.
Safflower got the largest rise (₹675, to ₹7,215), followed by rapeseed and mustard (₹413, to ₹6,613), lentil or masur (₹390, to ₹7,390), barley (₹136, to ₹2,286) and gram (₹83, to ₹5,958).
The government said the MSPs follow the rule of at least 1.5 times the cost of production, and that higher prices for oilseeds and pulses aim to push farmers towards crops that need less water, given the deficient monsoon. Wheat's MSP is 106% above its cost of production.
Farmer organisations under the Samyukta Kisan Morcha rejected the wheat increase as far too small. They pointed to a rise of about ₹7.5 per litre in diesel prices and other input costs, and asked for revised MSPs and freedom for states to pay bonuses on top of MSP.
Minimum Support Price (MSP) Mechanism
The Minimum Support Price is a price the government announces for certain crops before the sowing season. If market prices fall below it, government agencies can buy the crop at the MSP, so farmers do not suffer a big loss. It works like a safety net under the farmer's price. MSP is a policy decision of the government; it is not guaranteed by any law.
The 2027-28 rabi MSPs follow the 1.5-times rule, but wheat's rise is less than 1%. Because government buying is mostly of wheat and rice, wheat's MSP matters most to farmers in states such as Punjab, Haryana and Madhya Pradesh. This is why the small rise has drawn strong criticism, along with the demand that states be free to pay bonuses.
Commission for Agricultural Costs and Prices (CACP)
The Commission for Agricultural Costs and Prices, or CACP, is the expert body that advises the Government of India on what the Minimum Support Price of each major crop should be. Every season, it studies how much it costs farmers to grow a crop, what is happening in markets in India and abroad, and how prices affect consumers. It then sends a report with its recommended prices. The government, through the Cabinet Committee on Economic Affairs, takes the final decision. The CACP only recommends; it cannot fix prices on its own.
The CACP's rabi price policy report was the basis for the MSPs approved on 30 September 2026. Farmer groups have accused the Centre and the CACP of ignoring states' recommendations and recent rises in diesel and input costs, which is linked to the debate on the time lag in cost data and the choice between A2+FL and C2.
Agricultural Diversification in India
Agricultural diversification means growing and earning from a wider mix of crops and activities, instead of depending on one or two crops like rice and wheat. For India, it means more pulses, oilseeds, millets, fruits and vegetables, and more income from dairy, poultry and fisheries. It reduces the risk to farmers and saves scarce groundwater.
The bigger MSP rises for safflower, mustard and lentil, and the tiny rise for wheat, are meant to make oilseeds and pulses more attractive than wheat. The government has linked this to the deficient monsoon, since these crops need less water.
- Approval: CCEA, 30 September 2026, for Rabi Marketing Season 2027-28
- Wheat: ₹2,610 per quintal (up ₹25, under 1%); margin over cost 106%
- Barley: ₹2,286 (up ₹136); margin 58%
- Gram: ₹5,958 (up ₹83); margin 59%
- Lentil (masur): ₹7,390 (up ₹390); margin 92%
- Rapeseed and mustard: ₹6,613 (up ₹413); margin 96%
- Safflower: ₹7,215 (up ₹675, the highest); margin 50%
- Previous year (2026-27) wheat MSP: ₹2,585 per quintal
- Farmer groups cite a diesel price rise of about ₹7.5 per litre