Rough economics of wheat cultivation at current MSP.
5 Answers
Wheat farming is moderately profitable for farmers with assured irrigation and MSP access, though margins depend on yield and input costs. With the 2026-27 MSP at Rs 2,585 per quintal, a yield of 20 to 22 quintals per acre brings gross income of around Rs 51,000 to 57,000 per acre. Input costs (seed, fertiliser, irrigation, weed and pest control, labour and harvesting) often run Rs 18,000 to 25,000 per acre depending on the region, leaving a working profit that is decent but not large. Profit improves most by raising yield with good package of practices and by selling at MSP through the procurement portal rather than to private traders below MSP. Always work out your own costs, as they vary by area.
With my own tubewell and selling at the mandi at MSP, wheat covers costs and gives a fair profit. The trick is keeping yield up and input cost down.
Your irrigation cost decides a lot. Friends who buy water or run diesel pumps make much less than those of us with our own electric tubewell. Count your real water cost before judging if it pays.
The wheat straw (bhusa) is extra income people forget. Selling or feeding the straw, plus growing two crops a year on the same field, is what makes my overall farm economics work, not wheat alone.
Profit is far better when you actually sell at MSP. The years I sold to a private trader in a hurry I got below MSP and the margin shrank. Registering on the portal and selling at the centre is worth the effort.