New Delhi : The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Shri Narendra Modi, has approved the Minimum Support Price (MSP) for raw jute for the 2025-26 marketing season.
The MSP for raw jute (TD-3 grade) has been set at ₹5,650 per quintal for the 2025-26 season, ensuring a 66.8% return over the all-India weighted average cost of production. This decision aligns with the government’s policy, announced in the 2018-19 Budget, of fixing MSP at least 1.5 times the all-India weighted average cost of production.
Compared to the 2024-25 season, the MSP for 2025-26 reflects an increase of ₹315 per quintal. Since 2014-15, the MSP for raw jute has risen significantly from ₹2,400 per quintal to ₹5,650 per quintal in 2025-26—a total increase of ₹3,250 per quintal, representing a 2.35-fold growth.
Between 2014-15 and 2024-25, the government provided ₹1,300 crore to jute farmers as MSP payments, a significant rise compared to the ₹441 crore disbursed between 2004-05 and 2013-14.
The jute industry supports the livelihoods of approximately 40 lakh farm families, either directly or indirectly. Additionally, it provides direct employment to around 4 lakh workers in jute mills and trade. In the last year alone, jute was procured from 1.7 lakh farmers, with 82% of jute growers in West Bengal and the remaining production divided between Assam and Bihar (9% each).
The Jute Corporation of India (JCI) will continue as the central government’s nodal agency for undertaking price support operations. Any losses incurred during these operations will be fully reimbursed by the central government.