Nafed buys rabi oilseeds above MSP

State procurement agency National Agricultural Marketing Federation (Nafed) has picked up mustard seed and safflower seed arriving at major mandies of Madhya Pradesh, Rajasthan, Gujarat, UP, Haryana, Punjab, Maharashtra and Karnataka, at the best prevailing prices, which are above the minimum support price announced by the government.

"Nafed is undertaking procurement of mustard seed and safflower seed in outright account directly from farmers from the mandis at the best prevailing rates," the procurement agency said in a release.

Nafed is the central agency for procurement of oilseeds at MSP under the price support scheme. The rates of notified rabi oilseeds - mustard seed and safflower seed - are much above their MSPs, ie, Rs1,850 per quintal for mustard seed and Rs1,800 per quintal for safflower seed.

Earlier this month, Nafed said it was in readiness to undertake procurement of rabi oilseeds at MSP if the prices tend to fall below their MSPs.

Arrivals of mustard seed and safflower seed have picked up in major mandies of Madhya Pradesh, Rajasthan, Gujarat, UP, Haryana, Punjab, Maharashtra and Karnataka.

Nafed said it was also in readiness to undertake procurement of gram and masoor at MSP if the prices fall below the MSP.
 
The MSP of gram for fair average quality (FAQ) is Rs2,100 per quintal and MSP of  FAQ masoor is Rs2,250 per quintal for crop of Rabi 2011 season.