New Delhi, Mar 22 (IANS): The Cabinet Committee on Economic Affairs (CCEA) on Tuesday approved the minimum support price (MSP) for raw jute for 2022-23 season at Rs 4,750 per quintal, an increase of Rs 250 over previous year.

"The approval is based on recommendations of the Commission for Agricultural Costs and Prices (CACP). This would ensure a return of 60.53 per cent over all India weighted average cost of production. The announced MSP of raw jute for 2022-23 season is in line with the principle of fixing the MSP at a level of at least 1.5 times all India weighted average cost of production as announced by the government in the Budget 2018-19," a release from the Ministry of Agriculture and Farmers' Welfare said.

The step assures a minimum of 50 per cent as margin of profit. It is one of the important and progressive steps towards ensuring better remunerative returns to the jute growers and to incentivise quality jute fibre, the government claimed.

The Jute Corporation of India (JCI) will continue as Central government nodal agency to undertake price support operations and the losses incurred, if any, in such operations, will be fully reimbursed by the central government, the release added.