Department of Agricultural Economics, University of Agricultural Science, GKVK, Bengaluru, 560065, Karnataka, India
Online published on 13 December, 2019.
The minimum support price (MSP) is an important component of the agriculture price policy in India. This study, based on secondary data compiled from different sources, analyses the gap between the cost of production of jowar in Karnataka and its MSP. The results reveal that the cost of cultivation, yield and cost of production were increasing at the compound annual growth rate (CAGR) of, respectively, 14.42%, 1.09% and 12.69%, and that the MSP did not cover the actual cost of production from 2004–05 to 2015–16.