AreaIndia

Commodity GroupOilseeds, oils and meals

CommodityRabi oilcrops

Date01/11/2017

Policy CategoryProduction

Policy InstrumentProduction support

DescriptionRaised the minimum support prices for Rabi crops, without, however, guaranteeing procurement by state agencies at the established prices.

Notesed from last season’s level. For rapeseed and safflowerseed, they have been set at, respectively, INR 4 000 and INR 4 100 per quintal (USD 624 and 639 per tonne), up 8 and 11 percent year-on-year. For comparison, support prices for pulses have been raised by 8–10 percent and those for Rabi grains by 6–7 percent. Market observers pointed out that the increases may be insufficient to offset higher production costs. More importantly, oilseeds growers would only benefit from the higher support prices if state agencies actually scaled up crop procurement at the established prices.