Bhopal: The Centre’s push for 20 per cent ethanol blending in petrol has led to a sharp rise in maize cultivation in Madhya Pradesh, but farmers say falling market prices have left them disappointed, Bhaskar reported.
To encourage production, the government raised the minimum support price (MSP) of maize by 8 per cent to ₹2,400 per quintal. Following this, the area under maize cultivation in the state increased by over seven lakh hectares in a year, and production rose by 21 lakh metric tonnes.
Despite the higher MSP, farmers are reportedly receiving only ₹1,500 to ₹2,000 per quintal on average in the market, well below the announced support price. The gap between MSP and market rates has triggered dissatisfaction among growers.
Madhya Pradesh has around 85 lakh farmers, of whom more than 15 lakh cultivate maize. While production has been strong this year, demand from cattle feed manufacturers and ethanol producers has remained weak. Industry sources say ethanol units are increasingly using cheaper alternatives such as broken rice instead of maize. At the same time, subdued global demand has added to the pressure on prices.
In 2024, maize prices ranged between ₹2,100 and ₹2,200 per quintal, compared to ₹1,800–1,900 in 2023. During the Covid period in 2021–22, maize was exported to support prices. In 2017–18, when rates had dropped sharply, farmers were compensated under the Bhavantar scheme.
Kedar Sirohi, working president of the Congress Kisan Cell, said maize in some districts of the Malwa-Nimar region was sold at prices as low as ₹800 to ₹900 per quintal. He claimed that for nearly a year, the crop has been trading at almost half the MSP. He also raised concerns that any future trade deal allowing cheaper cattle feed imports from the United States could further impact domestic maize growers.
Union Agriculture Minister Shivraj Singh Chouhan recently said that wheat, maize and dairy products from the US would not be allowed to enter the Indian market.
