Last Updated on May 13, 2026 7:06 pm by BIZNAMA NEWS
AMN / New Delhi
The Union Cabinet today approved an increase in the Minimum Support Price (MSP) for 14 Kharif crops for the 2026-27 marketing season, alongside a series of major infrastructure and energy initiatives aimed at boosting agriculture, transport and industrial growth.
Briefing reporters after the Cabinet meeting, Union Information and Broadcasting Minister Ashwini Vaishnaw said the revised MSPs were intended to ensure better returns for farmers. He stated that the government’s estimated payout to farmers during the Kharif season would be around ₹2.6 lakh crore, with procurement expected to exceed 824 lakh metric tonnes.
According to the Minister, the highest MSP increase of ₹622 per quintal has been approved for sunflower seed, followed by ₹557 per quintal for cotton and ₹500 per quintal for sesamum. The MSP for Grade-A paddy has been fixed at ₹2,461 per quintal, while jowar hybrid will fetch ₹4,023 per quintal, bajra ₹2,900 and tur ₹8,450 per quintal.
The Cabinet also approved a ₹37,500-crore scheme to promote surface coal and lignite gasification projects. Mr. Vaishnaw described the initiative as a significant step towards accelerating India’s coal gasification programme. The scheme aims to support new projects for the production of syngas and related downstream products, targeting the gasification of nearly 75 million tonnes of coal and lignite. The government expects investments worth around ₹3 lakh crore under the programme.
He said financial incentives of up to 20 per cent of plant and machinery costs would be provided through a transparent competitive bidding process based on project cost, coal input and syngas output.
In another major decision, the Cabinet cleared India’s first semi-high-speed rail corridor on broad gauge using indigenous technology under the Namo Bharat train system. The 134-km corridor, with an estimated cost of ₹20,667 crore, will connect Dholera Special Investment Region with Ahmedabad (Sabarmati), Dholera Airport and Lothal.
The Cabinet further approved the modernisation and expansion of Nagpur International Airport through a public-private partnership model. Mr. Vaishnaw said the project would strengthen the airport’s role under the Multi-modal International Cargo Hub and Airport at Nagpur (MIHAN) initiative and help transform it into a major regional aviation hub.
Under the project, GMR Nagpur International Airport Limited (GNIAL) will undertake phased development of Dr. Babasaheb Ambedkar International Airport with a long-term goal of handling 30 million passengers annually. The expansion is also expected to significantly enhance cargo handling capacity and improve connectivity across the Vidarbha region and Central India.