The minimum support price (MSP) of wheat produced through natural farming in Himachal Pradesh has been increased from Rs 40 to Rs 60 per kilogram, while the MSP of maize produced similarly has been increased by Rs 10 to Rs 40 per kilogram, state Chief Minister Sukhwinder Singh Sukhu announced while presenting the budget on March 17, 2025, in the state Assembly.
This price declared for natural wheat and maize is the highest in the country claimed Sukhu, who is also Himachal’s finance minister. The government also has, in a first, fixed a support price of Rs 90 for raw turmeric.
A target has been set in the budget to connect 100,000 farmers with chemical-free natural farming this year. The state has also increased the daily wage of workers under MGNREGA (Mahatma Gandhi National Rural Employment Guarantee Act) by Rs 20 to Rs 320.
The state government has announced the introduction of an agriculture loan interest subsidy scheme in the budget. This is being done to provide relief to farmers availing loans. The government will introduce a one-time settlement plan through banks to enable farmers whose land is on the verge of being auctioned to repay their agricultural loans up to Rs 3 lakh.
Under this scheme, 50 per cent of the interest on the principal amount will be borne by the government. An amount of Rs 50 crore will be spent for this scheme.
“We are going to make Himachal natural and green. We protect our forests for a long time. That is why we are also called the ‘lungs of North India’. We give back to the country in the form of soil, water, pure air, good climate. If we look at Himachal Pradesh’s ecological services as a contribution to the country’s environment, then according to an estimate, it will be worth about Rs 90,000 crore per year. The government is getting a technical and scientific evaluation done for this,” Sukhu noted while presenting the budget.
He added: “It is sad that till now, our opportunity cost has not been compensated. Therefore, our government will strongly place this valuable contribution of Himachal Pradesh before the Government of India and the 16th Finance Commission and will demand funds to compensate for it.”
The state’s forest area will be expanded to develop the rural economy and realise the dream of Green Himachal. A target of tree plantation over 5,000 hectares has been set for the year 2025-2026, in which priority will be given to wild and other fruit plants.
Apart from this, the Chief Minister has also announced the launch of “Rajiv Gandhi Forest Enhancement Scheme” to promote community participation in forest management and expansion of forest area. Under this scheme, youth clubs, women clubs and self-help groups will be encouraged to plant trees, fruit and other useful plants on barren lands and protect them. Apart from this, the government has announced a scheme for corporate companies and houses to adopt forests under CSR activities.
The state government has announced to identify 100 climate-sensitive villages in backward areas and implement Climate Smart Agriculture, Renewable Energy Microgrid and Climate Resilient Village programmes through water conservation. At the same time, it has been announced to accelerate the goals of making Himachal Pradesh plastic neutral by 2030.