Maharashtra cabinet today approved a proposal to provide bonus of Rs 200 per quintal over and above the minimum support price (MSP) fixed by the Centre for paddy during the kharif season 2013-14.
The MSP for paddy procured in 2013-14 season is Rs 1,310 and for 'A' grade paddy, the MSP is Rs 1,345. The state government will give additional rs 200 per quintal. "Due to this decision, the state exchequer will bear burden of Rs 70 crore," officials said.
According to them, excessive and unpredictable rains, wide gap in crop procurement rate and production costs have prompted the decision.
