The Centre today announced a hike in the support price of paddy by 60 to 1,310 rupees per quintal for the 2013-14 crop year. Prices of some pulses and oilseeds were increased substantially by up to 450 rupees per quintal to boost output and reduce import dependence. The decision in this regard was taken by the Cabinet Committee on Economic Affairs, CCEA .

Briefing the media about the minimum support price (MSP) of 14 agricultural items for 2013-14 crop year, Finance Minister P Chidambaram said except for two items, government have accepted the recommendations of the Commission for Agriculture Costs and Prices, CACP.

CCEA has also approved 100 rupees hike in cotton MSP to 3,700 rupees per quintal – medium staple and 4,000 rupees per quintal – long staple.

In pulses category, the MSP of tur has been raised by 450 rupees to 4,300 rupees per quintal, while that of moong by 100 rupees to 4,500 rupees per quintal. However, the support price of urad has been retained at last year's level at 4,300 rupees per quintal.

The CCEA approved the hike in the prices of domestically produced natural gas from 4.2 dollars per Million Metric British Thermal Unit, MMBTU, to 8.4 dollars from the 1st of April next year.

Finance Minister P Chidambaram however hinted at moderating the price of fuel to power and fertilizer sectors so as to keep electricity and urea costs down.