Projected MSP for farmers for coming Kharif crop in 2018

What Should be the MSP (Minimum Support Price) for farmers for up-coming Kharif crop in 2018?

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Many friends from media, political circles and farmer friends are calling to seek my views on upcoming MSP announcements for Kharif season. Let me share my calculations. Read them carefully before you jump to the conclusion.

 First of all...
How cost of food and agriculture crops are calculated in India?
Please note: there is no mention, how much farmer should get as profit for his hardwork and to bear all the risk to feed the citizens of India and to support all agro-based industries and exports.

Once these costs are calculated, these are clubbed in various heads, like:
Once these costs are clubbed, following facts are considered to recommend what should be the Minimum Support price (MSP) for the farmers?
Please note: Once again, there is no mention, how much farmer should get as profit for his hardwork and to bear all the risk to feed the citizens of India and to support all agro-based industries and exports.

Important:
Now government of India has promissed that we will gve 50% more than the cost of production for all crops. If Government of India sticks to the promise, in that case the MSP to the farmers should be as follows:

Please read the chart very carefully. These are my calculations based of Government of India data only.
Before you feel very optimistic about government of India and political commitments to farmers, please also read what was said by the same Government in the Supreme Court of India.

IMPORTANT: If government of India is not keen to give MSP x1.5 on C2, it means government has no intention to pay for depreciation and maintenance of farm machinary and building on which farmers have invested by taking loans from the bank. In that case, all farm loans should be waived off every year because government is not keen to factor these costs while fixing MSP. So, government should not exploit farmers for political gains. Government must ensure fair costing practices as per globally accepted costing norms while fixing Minimum Support Price for poor farmers of India.

What next:
Let us wait for announcement of Kharif Minimum Support Price for the year 2019-18. This will tell us what is the future of farmers fo India? 

Will they remain vote bank with poverty or they will go to bank to enjoy the prosperity.

 I know there will be many questions in your mind, let me know them. I will try to reply to them, if you want so.

 Do write your views in the comments section below and share with friends as well.

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