Price Deficiency Payment & Claim the MSP Gap
Top up the shortfall
“This tool gets better every time someone says what confused them.
Price-deficiency schemes like Bhavantar pay the gap between a guaranteed price and the lower market price you got — payment = (MSP − market price) × yield. Enter your figures to see the top-up.
Estimate the price top-up
Next: register on your state's price-support / Bhavantar portal early and keep weighbridge and sale receipts — the top-up is paid on recorded sales, not estimates.
Most schemes cap the eligible quantity and reference an average modal market price over a window, so your actual payout may differ from a single-day market price.
Price deficiency payment — key facts
- Deficiency
- MSP − market price (per quintal)
- Payment
- deficiency × yield
- Scheme
- Bhavantar Bhugtan Yojana
- No procurement
- tops up income, no grain held
- If price ≥ MSP
- deficiency is zero, no payment
- Reference price
- often a modal-price average
- Goal
- support income when prices crash
- Privacy
- Runs in your browser; nothing uploaded
When the market falls short of MSP
When you sell below the minimum support price, a price-deficiency scheme like Bhavantar makes up the difference. The state doesn't buy your grain or hold any stock — it simply transfers the gap: (MSP − the market price you got) × your yield. That tops up your income without the cost and logistics of physical procurement, while you keep selling through the normal mandi system.
This tool shows your deficiency per quintal, payment per acre, total payment and area in 8 currencies. Use it to estimate what a price-deficiency scheme owes you and to check whether selling now or holding makes sense. Pair it with the MSP Profitability, Mandi Net Realization and Crop Insurance Claim tools to plan your price risk for the season.
Estimate your top-up
Know the price-gap payment you're owed.
See the MSP gap
Deficiency per quintal at a glance.
Plan per acre
Scale the payment across your area.
Manage price risk
Decide whether to sell now or hold.
Frequently Asked Questions
What is a price deficiency payment?+
It's a top-up that pays farmers the gap between a guaranteed price (such as the MSP) and the lower market price they actually got. Payment = (MSP − market price) × yield. Schemes like Madhya Pradesh's Bhavantar Bhugtan Yojana work this way — the government doesn't buy your grain, it simply pays the shortfall.
How is the payment calculated?+
First the deficiency per quintal = MSP − the market price you received. Multiply that by your yield to get the payment, and the tool also shows the payment per acre and the total across your area. If the market price is at or above MSP, the deficiency is zero and no payment is due.
What is Bhavantar?+
Bhavantar Bhugtan Yojana is a price-deficiency scheme that compensates farmers when the market price of a notified crop falls below its MSP. Instead of procuring the produce, the scheme directly transfers the price difference to the farmer's account, topping up income without the state holding any grain.
How does this differ from procurement at MSP?+
Under procurement the government buys your crop at the MSP and takes physical stock. Under a deficiency scheme you sell in the open market at whatever price you get, and the government pays the gap to the MSP. It needs no warehousing or physical handling — only a verified market price and your sale records.
What if the market price is above MSP?+
Then there's no deficiency and no payment — you've already received more than the guaranteed price, so the scheme has nothing to top up. The tool returns a zero deficiency in that case, which is the correct outcome.
What yield should I enter?+
Enter the quantity you actually sold (typically in quintals), either total or per acre depending on the field. The payment scales directly with yield: the more you sold below MSP, the larger the top-up, so use your real sale quantity for an accurate figure.
Why use a deficiency scheme at all?+
It supports farmer income when prices crash, without the cost and logistics of physically procuring and storing grain. Farmers keep selling through normal markets, traders keep trading, and the state only pays the difference — which can be cheaper and less distorting than open-ended procurement.
Can I use this outside India?+
Yes. The structure — (reference price − market price) × quantity — describes price-deficiency and counter-cyclical payment schemes in many countries. Choose your currency and enter your local reference price, market price and quantity to estimate a top-up anywhere.
Is this an official entitlement figure?+
No — it's a planning estimate. Actual payments follow each scheme's notified MSP, the reference market price (often a modal-price average over a window), caps and eligibility rules. Use this to estimate what you might receive, then confirm with the scheme's official figures.
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