The Indian government, through the Price Support Scheme (PSS), has been purchasing Kharif oilseeds, including soybean and groundnut, at the Minimum Support Price (MSP) in major producing states. The MSP for soybean is set at ₹4,892 per quintal, while for groundnut, it is ₹6,783 per quintal.

As of December 2, 2024, the government has procured 2.54 lakh tons of soybean, with major contributions from Madhya Pradesh (1.31 lakh tons), Maharashtra (58,274 tons), Telangana (49,969 tons), Rajasthan (6,318 tons), Gujarat (4,365 tons), and Karnataka (4,256 tons).

However, this total seems low compared to the overall target of 33.61 lakh tons for the current Kharif season, especially since the procurement period extends until February 9, 2025. Strong arrivals in key states have caused the wholesale market price to fall below the MSP, impacting the pace of government purchases.

In terms of groundnut, government procurement has reached 89,859 tons by December 2, with significant contributions from Gujarat (77,062 tons), Rajasthan (8,320 tons), and Uttar Pradesh (4,477 tons).

The target for groundnut procurement is 13.06 lakh tons in Gujarat, 5.32 lakh tons in Rajasthan, and smaller amounts in other states like Uttar Pradesh, Karnataka, and Andhra Pradesh.

Additionally, sesame procurement has not yet started, while 2,975 tons of sunflower have been procured, primarily in Karnataka. The target for sesame procurement is 31,473 tons, mostly in Uttar Pradesh.

This government procurement aims to support farmers and ensure that they receive a fair price for their crops, despite fluctuations in the market prices.