Government procurement of agricultural produce at Minimum Support Price (MSP) in Gujarat has exceeded Rs 65,000 crore over the past decade, benefiting nearly 49 lakh farmers. Official data reveals that 1.05 crore metric tonnes of produce were procured from farmers in the state during this period, indicating a significant increase in MSP operations and farmer participation.
Efforts by both the Centre and state government to enhance procurement mechanisms and ensure farmers receive guaranteed prices for their crops are ongoing. The MSP policy involves the government buying produce at predetermined rates to shield farmers from market fluctuations and distress sales. More than 48.98 lakh farmers have benefited from MSP procurement in the last ten years, with the total procurement value reaching Rs 65,570 crore.
Groundnut dominated the procurement landscape in Gujarat’s agricultural sector, with the government purchasing 52.48 lakh metric tonnes of groundnut for Rs 31,941 crore over the decade. Cotton farmers were the second-largest beneficiaries, with 25.23 lakh metric tonnes procured for Rs 17,759 crore, even during periods of weakened international cotton prices.
