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Impact of Minimum Support Price on Paddy Cultivation: A Micro Level Assessment


Affiliations
1 ICAR-National Rice Research Institute, Cuttack 753 006, India
 

The present study aims at estimating the impact of minimum support price (MSP) on rice cultivation using a quasi-experiment-based robust research design, propensity score matching applied to household survey-based disaggregated primary data. Results indicate that MSP significantly impacts price realization in the disposal of paddy. Further, MSP has a fair influence on the marketed surplus of rice and the acreage devoted to the rice crop. The study finds important correlations between farmers’ decisions to avail MSP in rice. It has important policy implications from an implementation perspective to make it more effective to better off the paddy growers throughout the country.

Keywords

Impact Evaluation, Minimum Support Price, Propensity Score Matching, Rice Cultivation.
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  • Impact of Minimum Support Price on Paddy Cultivation: A Micro Level Assessment

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Authors

Sudipta Paul
ICAR-National Rice Research Institute, Cuttack 753 006, India
Biswajit Mondal
ICAR-National Rice Research Institute, Cuttack 753 006, India
N. N. Jambhulkar
ICAR-National Rice Research Institute, Cuttack 753 006, India
Asit Pradhan
ICAR-National Rice Research Institute, Cuttack 753 006, India
G. A. K. Kumar
ICAR-National Rice Research Institute, Cuttack 753 006, India

Abstract


The present study aims at estimating the impact of minimum support price (MSP) on rice cultivation using a quasi-experiment-based robust research design, propensity score matching applied to household survey-based disaggregated primary data. Results indicate that MSP significantly impacts price realization in the disposal of paddy. Further, MSP has a fair influence on the marketed surplus of rice and the acreage devoted to the rice crop. The study finds important correlations between farmers’ decisions to avail MSP in rice. It has important policy implications from an implementation perspective to make it more effective to better off the paddy growers throughout the country.

Keywords


Impact Evaluation, Minimum Support Price, Propensity Score Matching, Rice Cultivation.

References





DOI: https://doi.org/10.18520/cs%2Fv125%2Fi3%2F277-282