India approves US$1.70B procurement plan for oilseeds for Kharif 2025/26   

INDIA – Union Agriculture and Farmers’ Welfare Minister Shivraj Singh Chouhan has approved a major procurement plan worth Rs 15,095.83 crore (US$1.70B), for oilseeds and pulses in the states of Telangana, Odisha, Maharashtra, and Madhya Pradesh for the Kharif 2025/26 season.   

This initiative falls under the Pradhan Mantri Annadata Aay SanraksHan Abhiyan (PM-AASHA) and related schemes aimed at ensuring remunerative prices and income stability for farmers during the ongoing agricultural year.   

The plan includes procurement of key crops such as soybean, moong (green gram), urad (black gram), and tur (red gram) at their respective Minimum Support Prices (MSPs).   

In Madhya Pradesh, the government will implement the Price Difference Payment Scheme (PDPS), under which farmers will receive the differential amount between the MSP and market price directly into their bank accounts.   

This approach is expected to benefit soybean farmers, with an estimated payout of ₹800 (US$9.02) per quintal.  

In Telangana, the government will procure 4,430 metric tonnes of moong, accounting for 25% of the state’s total production, under the Price Support Scheme (PSS) at a cost of ₹38.44 crore (US$4.33M).  

Urad procurement will be undertaken at 100% coverage, ensuring comprehensive support for pulse growers in the region.  

Telangana is also set to procure 100% of urad (black gram) and 25% of soybean.   

Odisha will procure a total of 18,470 metric tonnes of arhar (red gram), representing 100% of the state’s production, with a budget allocation of Rs 147.76 crore (US$16.66M).   

Maharashtra is slated to receive approvals for the procurement of 33,000 metric tonnes of moong, 3,25,680 metric tonnes of urad, and an ambitious 18,50,700 metric tonnes of soybean under PSS, with respective budget approvals totalling Rs 289.34 crore (US$32.62M), Rs 2,540.30 crore (US$286.15M), and Rs 9,860.53 crore (US$1.11B).   

Meanwhile, Madhya Pradesh will procure 22,21,632 metric tonnes of soybeans under the Price Deficiency Payment Scheme (PDPS), backed by Rs 1,775.53 crore (US$199.69M) in funding.  

Implementing agencies such as the National Agricultural Cooperative Marketing Federation of India (NAFED) and the National Cooperative Consumers Federation of India (NCCF) will oversee the procurement operations, ensuring transparency and timely payments.   

The initiative aligns with India’s broader goal of reducing dependence on edible oil imports, enhancing food security, and promoting sustainable agriculture.  

This strategic intervention comes at a crucial time, as global commodity prices fluctuate and domestic demand for edible oils and protein-rich pulses continues to rise.   

By supporting farmers through assured procurement, the government aims to strengthen rural livelihoods and stabilize the agricultural economy.  

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