MSP Increased: The Modi government has provided relief to farmers by increasing the Minimum Support Price (MSP) for copra (dried coconut kernel). In a meeting of the Cabinet Committee on Economic Affairs (CCEA) held on Friday, the decision to raise the MSP for copra for the year 2025 was taken. After the meeting, Information and Broadcasting Minister Ashwini Vaishnaw announced that the MSP for ‘milling copra’ has been increased by ₹422 to ₹11,582 per quintal, while the MSP for ‘ball copra’ has been raised by ₹100 to ₹12,100 per quintal.
Budget and Financial Implications
The central government has allocated ₹855 crore for this increase in MSP. The support price has been determined based on the recommendations of the Commission for Agricultural Costs and Prices (CACP) and applies to copra of fair and average quality. Vaishnaw also stated that the MSP has been set 50% higher than the production cost.
Procurement Process and Nodal Agencies
Under the Price Support Scheme (PSS), the procurement of copra and de-husked coconuts will be carried out by the National Agricultural Cooperative Marketing Federation of India (NAFED) and the National Cooperative Consumers’ Federation of India (NCCF), which have been designated as the central nodal agencies.
Major Producing States
Karnataka leads in copra production, contributing 32.7% of the total national output. It is followed by Tamil Nadu (25.7%), Kerala (25.4%), and Andhra Pradesh (7.7%). Additionally, Maharashtra, West Bengal, Odisha, Daman and Diu, and Gujarat also cultivate coconuts.
How Will Farmers Benefit?
An official statement from the government emphasized, “The increased MSP will not only ensure better remuneration for coconut farmers but also encourage them to boost copra production to meet the growing demand for coconut products both domestically and internationally.”
Copra Production Season
The copra production season in India typically begins in January and continues until April. This MSP increase is expected to enhance the income of coconut producers and is seen as a significant step toward promoting the agricultural sector.
