The Gujarat Government has announced that it would buy groundnut at Rs 900 per 20 kg after Diwali.
Last year the Minimum Support Price (MSP) for groundnut was Rs 844 per 20 kg.
Chief Minister Vijay Rupani took the decision to increase the MSP to safeguard farmers from a possible fall in prices in view of a bumper crop this season, said a government release.
Against the current market price of around Rs 650, government would procure groundnut at Rs 900 per 20 kg through 106 centres across the state, it said. The procurement will start from October 25.
With increased MSP, farmers would get an additional income of Rs 500 crore, the release said.
With ample rains and favourable weather, it is estimated that Gujarat would produce 32 lakh metric tonnes of groundnut this year which would come into market by October-end.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)