News Capsule: Groundnut Acreage Rises 9%, Led by UP and MP
08-Aug-2026 12:26 PM
News Capsule: Groundnut Acreage Rises 9%, Led by UP and MP
★ Groundnut acreage in kharif 2026 rose to 46.82 lakh hectares as of August 7, up nearly 9% from 43.11 lakh hectares a year ago. Widespread monsoon rains, favourable prices and government procurement at MSP last season have encouraged farmers to expand cultivation.
★ In Uttar Pradesh, acreage jumped nearly 78% to 4.71 lakh hectares, while Madhya Pradesh recorded a 40% increase to 5.86 lakh hectares. Rajasthan also saw an 11.9% rise. In contrast, acreage in Gujarat declined 3.1% to 19.78 lakh hectares, while Karnataka saw a sharp 44% fall to 0.82 lakh hectares.
★ The MSP for groundnut has been fixed at ₹7,517 per quintal for 2026-27. However, improved crop prospects have pushed wholesale prices down from ₹7,333 per quintal on July 15 to around ₹7,073 per quintal.
★ NAFED procured around 11.22 lakh tonnes of groundnut under the MSP-based Price Support Scheme during 2025-26, including 10.46 lakh tonnes from Gujarat, 0.39 lakh tonnes from Rajasthan and 0.36 lakh tonnes from Uttar Pradesh.
★ The procurement provided farmers with confidence of MSP support and was one of the key factors encouraging higher groundnut acreage this year.
★ Rainfall during mid-August and September will determine the final crop size and production outlook.