MP cabinet approves major farmer-friendly measures and big-ticket projects
Bhopal, June 9
In a significant boost to farmers and infrastructure development, the Madhya Pradesh Council of Ministers, chaired by Chief Minister Mohan Yadav, on Tuesday approved a series of key decisions, including a sharp reduction in mandi fees on cotton and a massive Rs 13,800 crore package for development, technical innovation, and farmer welfare.
The Cabinet decided to reduce the mandi fee rate on cotton from 1 per cent to 0.5 per cent, a press note said. This historic step is expected to strengthen local ginning mills, generate employment, and provide direct relief to cotton growers.
Simultaneously, the general mandi fee has been increased from Rs 1.00 to Rs 1.50 per unit. The additional revenue of approximately Rs 500 crore generated from this hike will be channelled into the 'Farmer Road Fund' and agricultural research.
Major approvals include a Rs 13,800 crore package for infrastructure development, technical innovation, and various farmer welfare initiatives.
Approval was also given for Rs 13,565.84 crore for the Bhopal Metro Rail Project. This includes revising the total project cost to Rs 10,033.62 crore by adding Rs 3,092.22 crore to the original estimate of Rs 6,941.40 crore, along with Rs 3,532.22 crore in additional funding. The funding mix comprises additional equity from the Centre and State, subordinate loans, bank loans, land acquisition and rehabilitation funds, and grants for taxes and interest during construction.
A government guarantee of Rs 8,600 crore was approved for the MP State Civil Supplies Corporation and Markfed to ensure smooth procurement of Rabi and Kharif crops.
In another decision, an amount of Rs 235.63 crore was allocated for IT cadre consultancy services and the Information Technology Action Plan for 2026 to 2031. Of this, Rs 180.20 crore has been allocated for the State IT Cadre scheme to provide expert consultancy, training, and capacity building across departments. Another Rs 55.43 crore is earmarked for the IT Action Plan, including training at the VBTC centre, e-governance projects, cyber-security, data management, workshops, and the "e-Governance Excellence Awards."
These decisions are seen as a comprehensive push to strengthen the agricultural economy, modernise urban transport in the capital, and accelerate the state's digital transformation journey, with a focus on emerging technologies such as AI, blockchain, and cybersecurity.
The Council of Ministers meeting was held at the Mantralaya in Bhopal. Officials described the decisions as significant steps towards the state's economic and social progress.
— IANS
Reader Comments
A mixed bag, I'd say. Cotton mandi fee reduction is great for growers in Khandwa and Khargone, but increasing the general mandi fee from Rs 1 to Rs 1.50 per unit will pinch other farmers. The 'Farmer Road Fund' is a good idea, but let's be honest—roads in rural MP are still a mess. The Rs 8,600 crore guarantee for crop procurement is essential given farmers' struggles with MSP last season. Metro in Bhopal is long overdue, though the cost revision of Rs 3,092 crore is eyebrow-raising. Hope the state's finances can handle it.
Interesting to see these developments from an outsider's perspective. The focus on agriculture, infrastructure, and digital transformation seems comprehensive. The IT Action Plan with AI and blockchain focus is forward-looking. But I wonder how many of these projects have clear timelines and accountability. In my country, we've seen similar big-ticket announcements get stuck in delays. The Bhopal Metro cost overrun does raise some flags. Still, it's encouraging to see investment in state development. Let's hope the execution matches the ambition.
As someone from Indore, I'm thrilled about the Bhopal Metro approval! Finally, our capital will get modern transport. But Rs 13,565 crore is a huge sum—hope they don't compromise on quality to save costs. The IT Action Plan with Rs 235 crore is smart; MP needs to catch up on e-governance. The e-Governance Excellence Awards sound nice, but I'm more keen on practical outcomes like faster land records online and better grievance redressal. Let's see if these decisions actually improve the ground reality in the next 2-3 years. 🤞
I'm cautiously optimistic. Cotton farmers in my
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