In a boost to India’s vital jute economy, the government has jacked up raw jute MSP by Rs 275 per quintal to Rs 5,925 for marketing year 2026-27. The approval came from PM Narendra Modi’s Cabinet Committee on Economic Affairs, prioritizing farmer welfare in this traditional crop.
Delivering 61.8% over comprehensive production costs, the rate faithfully implements the 1.5-times mandate from 2018. It’s Rs 275 higher than 2025-26, building on a decade of hikes—from Rs 2,400 in 2014-15 to 2.5x current value.
The numbers speak volumes: Rs 1,342 crore in MSP aid from 2014-15 to 2025-26 versus Rs 441 crore earlier. This infusion has transformed livelihoods in jute belts.
India, producing over 99% of its jute in West Bengal (dominant 80%), Bihar, Assam, Odisha, and Andhra Pradesh, thrives on perfect soil-climate synergy. The Indian Jute Corporation ensures seamless support ops, fully backed by central funds against losses.
Strategically timed, the hike aligns with rising demand for biodegradable jute products. It incentivizes production, curbs distress sales, and fosters sector resilience against volatile markets, heralding prosperity for agrarian communities.