The Centre on Tuesday fixed the minimum support price (MSP) of raw jute at Rs 5,925 per quintal for the 2026-27 season.This marks a rise of Rs 275 per quintal in the MSP of raw jute for the marketing season 2026-27 than the 2025-26 season; and Rs 3,525 per quintal from the MSP in 2014-15 (Rs 2,400 per quintal).The move will be beneficial for farmers in major jute-producing states of West Bengal and Assam, which are going to the polls this year. West Bengal is India’s premier jute-producing state, contributing 80 per cent of the nation’s total raw jute cultivation and over 90 per cent of its manufactured goods. Assam is the third-largest producer of raw jute in the country, with major cultivation in districts like Nagaon, Goalpara, Barpeta and Darrang.The decision was made by the Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi. “The MSP of raw jute (TD-3 grade) has been fixed at Rs 5,925 per quintal for the 2026-27 season. This would ensure a return of 61.8 per cent over the all-India weighted average cost of production,” the government said.It further said the announced MSP was in line with the principle of fixing MSP at a level of at least 1.5 times the all-India weighted average cost of production as announced in the Budget 2018-19.The government also said that Rs 1,342 crore was spent on MSP for jute-growing farmers during the period between 2014-15 and 2025-26, while Rs 441 crore was paid for the same from 2004-05 to 2013-14.“We are leaving no stone unturned to make the lives of our jute-producing farmer brothers and sisters easier. To this end, our government has taken the important decision to increase the MSP for raw jute. This will not only boost production and quality, but will also increase the income of farmers across the country involved in this sector,” Prime Minister Narendra Modi said in a post on XThe government has further said that the Jute Corporation of India (JCI) — which serves as the Centre’s nodal agency to undertake price support operations and the losses incurred, if any, in such operations — will be fully reimbursed by the Central Government.The decision is expected to strengthen India’s eco-friendly fibre ecosystem at a time when global demand for sustainable alternatives to plastics is steadily rising.