The government has raised minimum support price (MSP) of raw jute by Rs 285 to Rs 5,335 per quintal for the 2024-25 season. The said decision will greatly benefit farmers in eastern states, especially West Bengal.
In the current season 2023-24, the government has procured a record amount of more than 6.24 lakh bales of raw jute at the cost of Rs 524.32 crore, benefitting around 1.65 lakh farmers. The MSP for 2024-25 will ensure a return of 64.8 per cent over the all-India weighted average cost of production.
The MSP of raw jute for the 2024-25 season is in line with the principle of fixing the minimum support price at a level of at least 1.5 times all India’s weighted average cost of production as announced by the government in the Budget 2018-19. The decision is based on recommendations of the Commission for Agricultural Costs and Prices (CACP). The Jute Corporation of India (JCI) will continue as a 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.