Farmers’ organizations in Tamil Nadu are calling on the government to announce an interim increase in the Minimum Support Price (MSP) for agricultural products like paddy. They highlight the surge in fuel and fertilizer expenses and uncertainties related to weather patterns, possibly influenced by an upcoming El Niño event. This appeal precedes the enforcement of the MSP for the 2026-27 marketing year starting from September 1.
The Central government recently raised the MSP rates on May 13, boosting the procurement price of common and fine paddy varieties by Rs 72 per quintal. However, farmer representatives argue that this adjustment is insufficient to counter the mounting cultivation costs. The MSP for agricultural goods is set annually by the Government of India based on recommendations from the Commission for Agricultural Costs and Prices (CACP), considering factors such as production expenses, market dynamics, and broader economic factors.
Swamimalai S. Vimalnathan, Secretary of the Tamil Nadu Cauvery Farmers Protection Association, emphasized the significant changes in circumstances since the MSP announcement. He urged the government to reconvene the CACP in August for a fresh evaluation of support prices before the new procurement season. Vimalnathan highlighted the impact of escalating fuel prices due to geopolitical tensions in West Asia, which could further burden farmers financially.
Experts have cautioned about a potential El Niño event in 2026, warning of altered global rainfall patterns that could affect agricultural output and pose risks to farmers. Climate uncertainties must be considered in policy decisions, according to retired scientist Bhaskar Raj, who noted the potential for reduced crop yields and financial strain on farming communities due to changing weather patterns. Farmers are also troubled by the recent surge in fertilizer prices, with costs of key fertilizers like potash, ammonium sulphate, and NPK rising by Rs 50 to Rs 400 per 50-kg bag in recent weeks.
