On October 1, 2025, the Union Cabinet, chaired by Prime Minister Narendra Modi, approved a 6.59% increase in the MSP for wheat, raising it from the previous year’s ₹2,425 per quintal to ₹2,585 per quintal for the 2026-27 marketing year.
The decision aligns with the recommendations of the Commission for Agricultural Costs and Prices (CACP).
Wheat, the main rabi (winter) crop, is sown from late October, with harvesting typically starting in March. Other rabi crops include jowar, barley, gram, and lentil.
Information and Broadcasting Minister Ashwini Vaishnaw briefed the media after the Cabinet meeting, confirming the approval of MSP for six rabi crops, with wheat seeing the specified increase.
The 2026-27 wheat marketing year will begin in April, with most government procurement expected to conclude by June. The MSP increase is expected to provide farmers with improved returns as they prepare for the upcoming sowing season.
The government has set a record production target of 119 million tonnes for wheat in the 2025-26 crop year (July-June), slightly above the estimated 117.5 million tonnes produced in 2024-25. This target reinforces the country’s focus on wheat output to ensure both food security and support for farmers.
Read More: Why Has the Indian Government Restricted Silver Jewellery Imports?
The hike in wheat MSP aims to support farmers ahead of the rabi sowing season, providing better price assurance and aligning with production and procurement plans. The decision reflects the government’s ongoing efforts to balance farmer income with sustainable crop production targets.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Published on: Oct 3, 2025, 12:23 PM IST
Neha Dubey
Neha Dubey is a Content Analyst with 3 years of experience in financial journalism, having written for a leading newswire agency and multiple newspapers. At Angel One, she creates daily content on finance and the economy. Neha holds a degree in Economics and a Master’s in Journalism.
Know MoreWe're Live on WhatsApp! Join our channel for market insights & updates