MP Soybean Price Deficiency Scheme (Bhavantar) 2025 —New Update

MP Soybean Price Deficiency Scheme (Bhavantar) 2025 — New Update

What Is the Scheme?

• The Madhya Pradesh government has relaunched the Bhavantar Bhugtan Scheme (Price Deficit Payment Scheme, PDPS) specifically for soybean farmers.
• Purpose: compensate farmers when the market price of soybean is below the Minimum Support Price (MSP).
• Payment via Direct Benefit Transfer (DBT) into farmers’ bank accounts.

Key Details of the Scheme

1. MSP Rate

• The MSP fixed for soybean is ₹5,328 per quintal for this season.
• (Note: different sources mention slightly different MSP values — some say ₹5,238; check govt notifications for final figure.)

2. Model Rate Calculation

• The “model rate” is used as a benchmark to decide compensation. It is calculated based on the weighted average of 14-day soybean selling prices in regulated mandis in the state.
• Compensation is paid on the difference between MSP and either the actual selling price or the model rate, depending on which is higher/appropriate.

3. Registration Process

• Farmers must register to be eligible for the scheme.
• Registration began on 3 October 2025.
• Likely via the e-UPARJAN portal (or other state-designated portals).

4. Sale / Procurement Period

• Soybean can be sold in notified APMC mandis between 24 October 2025 and 15 January 2026.
• Some sources mention payment period running until 31 January 2026.

5. Compensation / Payment

• The state government will transfer the difference (if any) via DBT into the farmer’s bank account.
• Example: According to KhetiVyapar, an installment of ₹1,300 per quintal has been announced for payment.
• The first DBT payment for this compensation was scheduled on 13 November 2025.

6. Special Provisions

• The scheme also compensates losses due to yellow mosaic disease in soybean.
• The government aims to disburse payments within 15 days of sale.

Benefits & Risks / Challenges

Benefits

• Provides income stability for soybean farmers by guaranteeing MSP-equivalent support even if market rate drops.
• Ensures transparent and direct payouts via DBT — reduces risk of middlemen or delays.
• Helps mitigate crop disease risk (e.g. yellow mosaic) by providing explicit compensation for such losses.

Risks / Challenges

• If model rate is significantly lower, the compensation may not fully cover all losses.
• Requires accurate and fair market price data — calculation of model rate needs to be transparent.
• Dependency on timely and efficient registration, verification of land records, and bank account details.
• There may be administrative overhead or delays if many farmers are applying.

Good question. Yes — there are some new / important updates on the MP Soybean Bhavantar (Price-Deficiency) Scheme:

New Updates — MP Soybean Bhavantar Scheme (2025)

1. ₹233 Crore Transferred to Farmers
   • On 13 November 2025, CM Mohan Yadav transferred ₹233 crore to the bank accounts of 133,000 soybean farmers under the Bhavantar scheme.
   • This payment is part of the scheme to cover the price gap.
2. Model Rate & Compensation
   • The first model rate for soybean has been fixed at ₹4,036 per quintal.
   • Based on this model rate, the state government is compensating about ₹1,300 per quintal to farmers.
   • According to KhetiVyapar, a newer model rate was announced at ₹4,056 per quintal (as of 11 Nov 2025), which affects how the ₹1,300/qtl compensation is calculated.
3. Daily Rate Updates
   • The government is now publishing model rates daily, rather than every few weeks — this is intended to improve transparency.
   • These real-time or “daily” model rates help ensure compensation is more accurately aligned with market movements.
4. High Farmer Registration
   • Over 9.36 lakh farmers have registered for the Bhavantar scheme in Madhya Pradesh.
   • This is a large scale-up, showing strong demand and trust in the scheme.
5. Procurement Has Started
   • Soybean procurement under this scheme has begun in the Indore division, with participation from 34 mandis.
   • This means farmers are actively selling their produce in government-registered mandis to claim the price gap payment.

 Implications of These Updates

• The ₹233 crore payment is a major validation of the scheme — real DBT payments are going through, not just promises.
• Daily model rate updates are a big win: they make the compensation more dynamic and responsive, which could make the scheme more fair and efficient.
• A high number of registrations (9.36 lakh) suggests good uptake — but also means the government needs to ensure smooth processing.
• With procurement happening in many mandis, farmers have real pathways to sell and claim.

FAQs :-

1. What is the MP Soybean Bhavantar Scheme 2025?
   It’s a price deficiency payment scheme where the state compensates soybean farmers if market selling prices fall below the MSP.
2. What is the MSP for soybean under this scheme?
   The MSP is ₹5,328 per quintal (according to the 2025-26 scheme).
3. How will the compensation be calculated?
   It’s based on the “model rate” (weighted 14-day average price) — compensation is the difference between MSP and the higher of model rate or the actual selling price.
4. When can farmers register and sell their soybean?
   Registration started on 3 October 2025.
   Sale period in notified mandis: 24 October 2025 to 15 January 2026.
5. How and when will farmers receive payment?
   Payments are made via DBT (direct benefit transfer) into registered bank accounts. The first installment is being paid on 13 November 2025.