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Centre Increases Minimum Support Price (MSP) for Copra

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NABARD ARDNABARD Grade AState AAO
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Context:

The Cabinet Committee on Economic Affairs (CCEA) has approved an increase in the Minimum Support Price (MSP) for copra for the 2026 market season, providing price assurance to coconut farmers amid rising input costs.

Revised MSP for Copra (2026 Season)
  • Milling copra (Fair Average Quality): ₹12,027 per quintal
    • Increase of ₹445 per quintal over the previous season
  • Ball copra: ₹12,500 per quintal
    • Increase of ₹400 per quintal over the previous season

What is Copra?

Coconut is a major plantation crop in Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Odisha and parts of the North-East. Copra converts perishable coconuts into a value-added, shelf-stable product.

Copra is the dried kernel (white meat) of mature coconuts. It is obtained by drying fresh coconut kernels either:

  • Naturally (sun-drying), or
  • Artificially (kiln or hot-air drying)

Once dried, copra becomes a storable and tradable agricultural commodity.

What is Minimum Support Price (MSP)?

  • Minimum Support Price (MSP) is the pre-declared price at which the government purchases agricultural produce from farmers.
  • It acts as a price floor, ensuring that farmers are not forced to sell their crops below the cost of production.
  • MSP is recommended by the Commission for Agricultural Costs and Prices (CACP) and approved by the CCEA.
  • The policy aims to provide income stability, incentivise production, and support food and agricultural security.

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