New Delhi, Apr 25 (KNN) The Cabinet Committee on Economic Affairs has given its approval for the increase in the Minimum Support Price (MSP) for Raw Jute for 2018-19 season.

The Minimum Support Price (MSP) for Fair Average Quality (FAQ) of Raw Jute has been increased to Rs.3700/- per quintal for 2018-19 season from Rs. 3500/- per quintal in 2017-18 season.

The MSP would yield returns of 63.2 percent over the weighted average A2+FL cost of production. The MSP of Raw Jute is expected to ensure appropriate minimum prices to the farmers and step up investment in Jute cultivation and thereby production and productivity in the country.

In another development, CCEA has approved Centrally Sponsored Scheme of National Bamboo Mission (NBM) under National Mission for Sustainable Agriculture (NMSA) during remaining period of Fourteenth Finance Commission (2018-19 & 2019-20).  The Mission would ensure holistic development of the bamboo sector by addressing complete value chain and establishing effective linkage of producers (farmers) with industry.

CCEA has also approved Empowerment of Executive Committee for formulation of guidelines of the NBM and to make the changes therein, including cost norms for various interventions from time-to-time as per the felt needs and specific recommendations of States, with the approval of Union Minister for Agriculture & Farmers Welfare.

An outlay of Rs.1290 crore (with Rs. 950 crore as Central share) is provisioned for implementation of the Mission during the remaining period of 14th Finance Commission (2018-19 and 2019-20).

The scheme will benefit directly and indirectly the farmers as well as local artisans and associated personnels engaged in bamboo sector including associated industries. Since it is proposed to bring about one lakh ha area under plantation, it is expected that about one lakh farmers would be directly benefitted  in terms of plantation.

The Mission will focus on development of bamboo in limited States where it has social, commercial and economical advantage, particularly in the North Eastern region and States including Madhya Pradesh, Maharashtra, Chhattisgarh, Odisha, Karnataka, Uttarakhand, Bihar, Jharkhand, Andhra Pradesh, Telangana, Gujarat, Tamil Nadu and Kerala.

The Mission is expected to establish about 4000 treatment/ product development units and bring more than 100000 ha area under plantation. (PIB Inputs)