Government Boosts Copra MSP to Benefit Coconut Farmers

The government has increased the minimum support price (MSP) for copra by up to Rs 420 to Rs 12,100 per quintal for the 2025 season, with a financial impact of Rs 855 crore. The decision aims to provide better returns for coconut growers and encourage increased production.

On Friday, the government announced a significant hike in the minimum support price (MSP) for copra, raising it by up to Rs 420 to reach Rs 12,100 per quintal for the 2025 season. The Cabinet Committee on Economic Affairs (CCEA), headed by Prime Minister Narendra Modi, made this decision, aiming to support coconut farmers and increase production.

According to Information and Broadcasting Minister Ashwini Vaishnaw, the MSP adjustment applies to both 'milling copra' and 'ball copra,' with increases of Rs 420 to Rs 11,582 and Rs 100 to Rs 12,100 per quintal, respectively. The pricing recommendations were made by the Commission for Agricultural Costs and Prices (CACP) and will result in a fiscal commitment of Rs 855 crore.

The new MSP represents a 50 percent increase over the cost of production. Central nodal agencies like the National Agricultural Cooperative Marketing Federation of India Ltd (NAFED) and National Cooperative Consumers' Federation (NCCF) will manage procurement under the price support scheme (PSS). This move is expected to ensure higher remunerative returns for coconut growers, encouraging expansion to meet the rising demand both domestically and internationally.

(With inputs from agencies.)