India: Government Likely to Boost Rice Support Price

The Indian government is most likely to give a bonus to rice farmers for improving paddy procurement this year which will also help reduce the large gap between the minimum support price (MSP) of wheat and rice.

The current MSP for wheat is Rs 850 a quintal, including Rs 100 bonus, while for rice it is Rs 645 a quintal for common variety and Rs 675 for Grade A variety.

While the rice output has increased, the grain output in the current Kharif season is estimated to be stagnant at 80 million MT.