Madhya Pradesh government approves Kodo-Kutki procurement and support schemes for soybean and silk farmers

The Madhya Pradesh government has approved a series of new initiatives aimed at benefiting farmers and rural producers. These include the state’s first-ever government procurement of Kodo-Kutki millet, the Bhavantar Payment Scheme for soybean farmers, the Silk Prosperity Scheme, and the MSME RAMP initiative. Together, these programs will provide direct financial assistance, market stability, and employment opportunities to lakhs of beneficiaries across the state.

First-Ever Government Procurement of Kodo-Kutki:

For the first time, the state cabinet has approved the government procurement of Kodo and Kutki millets from farmers in key producing districts. This step will particularly benefit tribal farmers under the Rani Durgavati Shree Ann Promotion Scheme, implemented through the Shree Ann Consortium of Farmer Producer Companies (Shree Ann Federation).

1. Target for Kharif 2025: 30,000 metric tonnes
2. Procurement Price: ₹3,500 per quintal for Kutki and ₹2,500 per quintal for Kodo
3. Financial Support: ₹80 crore interest-free loan to Shree Ann Federation
4. Incentive: ₹1,000 per quintal to be transferred directly to farmers via DBT

This initiative aims to strengthen millet cultivation and ensure farmers receive fair compensation while promoting the nutritional and commercial value of these traditional grains.

Bhavantar Payment Scheme for Soybean Farmers:

The state government has approved the Bhavantar Payment Scheme for soybean farmers for the Kharif 2025 season, modeled on the central government’s Price Deficiency Payment Scheme (PDPS).

1. Sale Period: October 24, 2025 – January 15, 2026
2. Farmers can sell their produce at notified mandis across the state.
3. The difference between the market price and the Minimum Support Price (₹5,328 per quintal) will be credited directly to farmers’ bank accounts through DBT.

This move is expected to protect farmers from market volatility and ensure they receive remunerative prices for their produce.

“Silk Prosperity Scheme” for Sericulture Development:

The cabinet also gave approval to implement the central government’s “Silk Samagra-2” program in Madhya Pradesh as the “Resham Samriddhi Yojana”, with a 25% state contribution. The scheme will support beneficiaries involved in 23 sericulture-related activities.

Assistance Ratio:

• 75% government support and 25% beneficiary share for the general category
• 90% support and 10% beneficiary share for SC/ST beneficiaries

Unit Cost: ₹5 lakh per unit:

The scheme aims to promote mulberry, tasar, eri, and post-cocoon activities, ensuring sustainable income and employment for rural families engaged in silk production.

MSME RAMP Scheme Approved:

The cabinet also approved the implementation of the Raising and Accelerating MSME Performance (RAMP) scheme in Madhya Pradesh, with a total budget of ₹105.36 crore, including a ₹31.60 crore (30%) state share.
This initiative will enhance the performance, competitiveness, and sustainability of Micro, Small, and Medium Enterprises (MSMEs) across the state, supporting entrepreneurship and job creation.

Increased DA/DR for Pensioners:

Mmove to provide relief from inflation, the state government has increased the Dearness Allowance (DA) and Dearness Relief (DR) for its pensioners and family pensioners.

1. The 7th Pay Commission, the rate has been raised from 53% to 55%.
2. The 6th Pay Commission, the rate has been increased from 246% to 252%.
3. The revision will be effective from September 1, 2025 (payable in October 2025).
4. This will impose an additional financial burden of ₹170 crore on the state exchequer.