The government has announced a significant increase in the minimum support price (MSP) of wheat and masur for the 2023-24 crop year. The MSP of wheat has been raised by Rs 40 to Rs 2,015 per quintal, while the MSP of masur has been increased by Rs 400 to Rs 6,000 per quintal. This is the highest hike in the MSP of Rabi crops in the last ten years. The decision was taken in view of the rising food inflation and the need to ensure food security for the poor.
Food inflation driven by adverse climatic conditions
The country has been facing a period of elevated food inflation since February 2022, when adverse climatic conditions such as unseasonal rains, hailstorms, and cyclones damaged the crops and disrupted the supply chains. The retail food inflation was 6.8 percent in 2022 and 6.2 percent in 2023 (January-September), according to the official data. The prices of cereals, pulses, vegetables, fruits, eggs, and milk have increased significantly in the past year.
MSP as a factor of food inflation and procurement
Economists have often pointed out that the MSP is an important factor that contributes to food inflation, as it influences the cost of production and the market prices of agricultural commodities. The MSP is also a tool to incentivize farmers to produce more food grains and ensure adequate procurement by the government for public distribution. The government distributes wheat and rice to 81.35 crore people under the National Food Security Act 2013 at subsidized rates.
Comparison of MSP hike under NDA and UPA governments
The NDA government has generally given a lower hike in the MSP of Rabi crops than the previous UPA government. The average annual increase in the MSP of wheat during the UPA period (2009-10 to 2013-14) was 9.4 percent, while it was 5.4 percent during the NDA period (2014-15 to 2022-23). Similarly, the average annual increase in the MSP of masur during the UPA period was 11.8 percent, while it was 7.9 percent during the NDA period.
Implications of MSP hike for farmers and consumers
The hike in the MSP of wheat and masur is expected to benefit the farmers who grow these crops, especially in states like Punjab, Haryana, Madhya Pradesh, Uttar Pradesh, and Bihar. The farmers will get a higher income from their produce and will be assured of a fair price for their crops. However, the hike in the MSP may also have an impact on the consumers, as it may lead to higher food prices and inflationary pressures in the economy.
![gain Rise in Gold Rate in India After Falling Rs 21,200/24K; Will Gold Price Today Jump or Drop on 28 March? By Harshika Yadav Published: Saturday, March 28, 2026, 6:55 [IST] preference Add as a preferred source on Google Gold rates in India witnessed a modest recovery on March 27, 2026, after a sharp fall in the previous session, indicating a cautious stabilisation in the bullion market. The yellow metal had dropped by Rs 212 per gram (or Rs 21,200 per 100 grams) of 24 Karat (24K) earlier, but managed to regain some ground. Gold Price Updates as US-Iran Tensions Ease; Pakistan, Turkiye & Egypt Step Up Mediation Efforts The rise in yellow metal follows easing geopolitical concerns after US President Donald Trump signalled a delay in potential military action against Iran's energy infrastructure by 10 days, pushing the deadline to April 6. This development, along with ongoing diplomatic efforts, has helped support safe-haven demand. gold Rate Today Further adding to market sentiment, Pakistan's Foreign Minister Ishaq Dar confirmed that Islamabad is acting as an intermediary between the United States and Iran, relaying messages as part of efforts to de-escalate tensions. Countries like Türkiye and Egypt are also reportedly supporting the mediation process, offering some relief to global financial markets. Gold Rate in India: Check Latest 22K, 24K & 18K Gold Prices Per Gram 24 Karat Gold Rate Today in India In the 24 Karat segment, at the time of writing, the rate for 1 gram stood at Rs 14,471, rising by Rs 16 from Rs 14,455. For 8 grams, the price increased to Rs 1,15,768, up by Rs 128. The rate for 10 grams climbed to Rs 1,44,710, reflecting a gain of Rs 160, while 100 grams of 24 Karat gold were priced at Rs 14,47,100, marking an increase of Rs 1,600. 22 Karat Gold Rate Today in India The price of one gram of 22K stood at Rs 13,265, gaining Rs 15 from the previous session. For 8 grams, the rate rose to Rs 1,06,120, registering an increase of Rs 120. The cost of 10 grams advanced to Rs 1,32,650, up by Rs 150, while 100 grams were priced at Rs 13,26,500, reflecting a gain of Rs 1,500. 18 Karat Gold Rate Today in India The rate for one gram of 18K stood at Rs 10,853, up by Rs 12. For 8 grams, the price moved up to Rs 86,824, marking a gain of Rs 96. The rate for 10 grams climbed to Rs 1,08,530, increasing by Rs 120, while 100 grams were valued at Rs 10,85,300, reflecting an uptick of Rs 1,200. Latest MCX Gold Price In the domestic futures market, gold on the Multi Commodity Exchange (MCX) held firm above the Rs 1,44,500 level as per latest trading record, supported largely by the weakness in the Indian rupee, which continues to cushion local prices despite global volatility. Latest Spot Gold Rate The rebound in domestic gold rates comes alongside a recovery in international markets, where gold moved above the $4,400 per ounce mark. What Lies Ahead for Gold Prices? Check Gold Rate Prediction Jateen Trivedi, VP - Research Analyst (Commodity and Currency), LKP Securities, said, "Gold remained slightly positive, trading above $4,425 with highs near $4,475, supported by initial optimism around US-Iran talks. However, the sharp rise in crude continues to signal underlying market stress and inflation risks." From a technical perspective, he explained, "Technically, support is seen near Rs 1,42,000, while resistance is placed around Rs 1,46,500. Overall, gold is expected to remain volatile with limited upside unless clarity emerges on inflation and geopolitics."](https://keralanews247.com/wp-content/uploads/2026/03/rupee-and-dollar-scaled-120x86.png)
