Moong, urad and groundnut procurement cleared for four states under Price Support Scheme, strengthening farmer incomes and domestic food security

Key Highlights

• Centre approves large-scale procurement of pulses and oilseeds under the Price Support Scheme (PSS).
• Uttar Pradesh receives the largest allocation with MSP procurement worth over ₹1,490 crore.
• Procurement approved for moong, urad and groundnut crops.
• Gujarat gets approval for procurement of 18,250 MT of moong worth over ₹160 crore.
• Tamil Nadu’s moong procurement limit increased to 990 MT.
• Haryana receives approval for procurement of 2,115 MT of moong.
• Move aligns with the Centre’s broader push for pulses self-reliance and farmer income protection.
• Procurement expected to support domestic supply chains and reduce distress sales.

Centre Expands MSP Procurement of Pulses and Oilseeds Across Four States

New Delhi, June 18: In a significant move aimed at protecting farmers from price volatility and strengthening domestic production of pulses and oilseeds, the Centre has approved large-scale procurement under the Price Support Scheme (PSS) for Uttar Pradesh, Gujarat, Tamil Nadu and Haryana.

The decision, approved by Union Agriculture and Farmers’ Welfare Minister Shivraj Singh Chouhan, is expected to provide direct price support to growers while reinforcing the government’s strategy to improve self-sufficiency in key agricultural commodities.

Uttar Pradesh Receives Largest Procurement Package

Uttar Pradesh emerged as the biggest beneficiary of the latest approval.

For the Summer 2026 season, the Centre has cleared procurement of:

• 48,298 MT of moong
• 97,970 MT of urad
• 41,718 MT of groundnut

The combined Minimum Support Price (MSP) value of the approved procurement exceeds ₹1,490 crore, making it one of the largest pulse and oilseed procurement interventions announced this season.

The move is expected to support thousands of farmers cultivating pulses and oilseeds across the state while ensuring remunerative prices during the marketing season.

Gujarat Gets ₹160 Crore Moong Procurement Support

For Gujarat, the Centre has approved procurement of 18,250 MT of moong under the Price Support Scheme.

The procurement carries an MSP value exceeding ₹160 crore and is intended to provide market support to farmers facing price fluctuations during peak arrivals.

Tamil Nadu Procurement Limit Enhanced

In Tamil Nadu, the government has increased the approved procurement quantity for moong under the Rabi Marketing Season 2025-26.

The procurement ceiling has been raised from 885 MT to 990 MT, allowing an additional 105 MT to be purchased at MSP.

The total value of procurement approved for the state stands at ₹8.68 crore.

Haryana Farmers to Receive MSP Support

The Centre has also approved procurement of 2,115 MT of moong in Haryana during the Summer 2026 season.

The procurement is valued at more than ₹18 crore and is expected to provide direct income support to pulse growers in the state.

Supporting India’s Pulses Self-Reliance Mission

The latest approvals come shortly after the Centre reiterated its commitment to achieving self-reliance in pulses through increased domestic production and improved procurement mechanisms.

By ensuring MSP-backed purchases, the government aims to:

• Prevent distress sales during periods of oversupply.
• Encourage higher pulse cultivation.
• Improve farmer confidence.
• Reduce dependence on imports.
• Strengthen national food security.

The procurement approvals are particularly significant given recent concerns over lower early-season pulses acreage reported in Kharif sowing data.

Why It Matters for Hospitality and Food Processing

The decision has direct implications for India’s food ecosystem, including hospitality, catering and food manufacturing sectors.

Stable Pulse Supply for Foodservice

Pulses are a core ingredient across:

• Hotels.
• Restaurants.
• Institutional catering.
• Cloud kitchens.
• Processed food manufacturing.

Higher MSP-backed procurement helps maintain farmer interest in pulse cultivation, supporting long-term availability of key ingredients such as moong and urad.

Support for Food Inflation Management

Government procurement can help stabilize farmgate markets while encouraging production, which may contribute to better supply availability and reduced volatility in pulse prices over the medium term.

Groundnut Benefits Food Processing Sector

The inclusion of groundnut procurement in Uttar Pradesh is particularly relevant for:

• Edible oil manufacturers.
• Snack food companies.
• Peanut-based product manufacturers.
• Export-oriented food processors.

Improved farmer returns can encourage continued cultivation and support domestic raw material supplies.

Industry Outlook

The Centre’s latest procurement approvals reflect a broader strategy of combining MSP support, crop diversification and self-reliance initiatives to strengthen India’s agricultural economy.

For food processors, hospitality operators and agribusiness stakeholders, sustained government support for pulses and oilseeds could contribute to stronger domestic supply chains, greater price stability and improved food security in the years ahead.

Hospitality & Food Industry Takeaway

The expanded MSP procurement programme is expected to support domestic production of pulses and oilseeds, helping secure long-term supplies for restaurants, hotels, caterers and food manufacturers while strengthening farmer incomes across key producing states.