Abstract

The research probes the relationship between the Minimum Support Price (MSP) price and its income impact on the farmers with different agricultural land-holdings. It examines maize crop cultivation income under three conditions if a farmer is getting crop production value at MSP, above 20% of MSP and above 40% of MSP. It then evaluates the farmers belonging to marginal, small, semi-medium, medium and large categories position in terms of poverty criteria suggested by the World bank. For analysis purposes, it uses an economic-model approach and suggest the concept of survival income for agricultural farmers. Its findings prove that marginal and small farmers require benefits beyond the MSP rate to push them above the poverty line.