The Commission for Agricultural Costs and Prices recommended the approval (CACP). During the 2023-24 season, the MSP for raw jute (TD-3 equivalent to former TD-5 grade) has been set at Rs 5050 per quintal.
This would result in a return of 63.20 percent over the weighted average cost of production for all of India.
Anurag Thakur, Minister of Information and Broadcasting, told reporters after the CCEA meeting that the announced MSP for raw jute for the 2023-24 season is in line with the principle of fixing the MSP at a level of at least 1.5 times all India's weighted average cost of production, as announced by the Government in the 2018-19 budget.
"It guarantees a minimum margin of profit of 50%." "It is an essential and progressive step towards assuring greater remunerative returns to jute growers and incentivizing quality jute fibre," he said.
According to an official release, the Jute Corporation of India (JCI) will continue to serve as the Central Government's Nodal Agency for Price Support Operations, and any losses incurred in such operations will be fully compensated by the Central Government.
MSP is a price set by the Government of India to shield farmers from price drops during bumper output years. The minimum support prices are a guarantee price from the government for their produce.
