Andhra Pradesh Market Watch: Cotton and Groundnut Prices Surge Above MSP as Paddy Lags Behind
Explore the latest 2026-27 agricultural market trends in Andhra Pradesh. Cotton and Groundnut prices surge past MSP, signaling strong gains for farmers, while Tomato arrivals increase amid steady demand. Get the full breakdown of commodity prices, arrivals, and MSP comparisons for Paddy, Cotton, and Vegetables in our comprehensive market report.
Commercial Crops Lead the Charge
The agricultural sector in Andhra Pradesh is currently defined by the strong performance of Fibre Crops and Oil Seeds. According to the latest district-wide figures, Cotton remains the standout performer. Against a Minimum Support Price (MSP) of ₹7,710.00 per quintal, market prices have consistently breached the ceiling, reaching as high as ₹8,099.00. Despite a moderate arrival volume of 794.00 metric tonnes, the sustained price point of approximately ₹7,992.00 suggests a high industrial demand that is benefiting local growers.
Similarly, Groundnut producers are reaping the rewards of a tight market. With an MSP set at ₹7,263.00, the commodity is trading at a premium, with prices peaking at ₹7,589.00 per quintal. The arrival of 474.00 metric tonnes indicates a steady flow of produce into the mandis, with the average price holding firm at ₹7,440.25.
The Vegetable Volatility Index
The vegetable market continues to exhibit its trademark volatility, though prices remain relatively stable for essential kitchen staples:
-
Tomatoes: The market has seen a significant influx, with arrivals climbing from 154.98 to 247.85 metric tonnes. Prices have responded with a slight upward trend, moving from ₹1,200.00 to a peak of ₹1,252.27 per quintal.
-
Potatoes: Stability remains the keyword for potatoes, which are holding steady at a flat rate of ₹2,000.00 per quintal, though arrival volumes remain marginal at less than one metric tonne.
Cereals and Administrative Oversight
In contrast to the booming fibre and oilseed sectors, Paddy (Common) is maintaining a quiet profile. The MSP for the 2026-27 season is established at ₹2,369.00, yet current market arrivals are minimal, recorded at just 24.59 metric tonnes. State administrative officials are closely monitoring these figures to ensure that as the harvest season progresses, procurement centers are fully operational to prevent any distress sales below the MSP.
Economic Implications
The current price trends highlight a favorable environment for Andhra Pradesh's diversified farming portfolios. The fact that major commodities are trading above the MSP is a positive indicator of market health and farmer income security. However, the disparity in arrival volumes between vegetables and grains suggests that logistics and seasonal timing continue to play a critical role in price discovery. As the 2026-27 season unfolds, the focus for the state’s agricultural department will remain on maintaining this price equilibrium while scaling up procurement infrastructure for the cereal harvest.

Comment List