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The Minimum Support Price (MSP) is declared by the government every year
Before the sowing season
Every week at all major mandis
At the end of every month
After the sowing season
MSP is like a price signal to provide incentives to the farmers for raising the production of particular crops whose MSP has been set higher. MSP is decided by Cabinet Committee on Economic Affairs (CCEA). However, a buffer stock is created by the government to distribute food grains in the deficit areas and among the poorer strata of society at a price lower than the market price also known as Issue Price.
By: Pradeep Kumar ProfileResourcesReport error
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