The Madhya Pradesh Council of Ministers, chaired by Chief Minister Mohan Yadav, on Tuesday, 9 June approved a sweeping set of decisions at the Mantralaya in Bhopal, including a halving of the mandi fee on cotton and a ₹13,800 crore package spanning infrastructure, technical innovation, and farmer welfare.

Cotton Mandi Fee Cut and Agricultural Relief

In what officials described as a historic step for cotton growers, the Cabinet reduced the mandi fee rate on cotton from 1% to 0.5%. The move is expected to strengthen local ginning mills, generate employment, and deliver direct financial relief to farmers across the state's cotton-growing belt.

Simultaneously, the general mandi fee was raised from ₹1.00 to ₹1.50 per unit. The approximately ₹500 crore in additional annual revenue generated by this hike will be routed into the 'Farmer Road Fund' and agricultural research — a deliberate effort to reinvest market revenues back into rural infrastructure.

Bhopal Metro Rail Project Gets Major Funding Revision

The Cabinet cleared a revised funding structure worth ₹13,565.84 crore for the Bhopal Metro Rail Project. The total project cost has been revised upward to ₹10,033.62 crore, reflecting an addition of ₹3,092.22 crore over the original estimate of ₹6,941.40 crore, along with ₹3,532.22 crore in supplementary funding.

The revised financing mix draws from additional equity contributions by the Centre and the state government, subordinate loans, bank loans, land acquisition and rehabilitation funds, and grants covering taxes and interest during construction. The Bhopal Metro, once complete, is expected to transform urban commuting in the state capital.

Crop Procurement Guarantee and IT Action Plan

To ensure uninterrupted procurement of Rabi and Kharif crops, the Cabinet approved a government guarantee of ₹8,600 crore for the MP State Civil Supplies Corporation and Markfed. This backstop is designed to prevent procurement bottlenecks that have historically left farmers without timely buyers.

An allocation of ₹235.63 crore was also cleared for IT cadre consultancy and the Information Technology Action Plan 2026–2031. Of this, ₹180.20 crore is earmarked for the State IT Cadre scheme — covering expert consultancy, training, and capacity building across government departments. The remaining ₹55.43 crore funds the IT Action Plan, which includes training at the VBTC centre, e-governance projects, cyber-security, data management, workshops, and the 'e-Governance Excellence Awards'.

Broader Significance

Taken together, Tuesday's decisions signal a multi-front push by the Yadav government: shoring up agricultural incomes, accelerating urban mobility infrastructure, reinforcing food-grain procurement, and modernising state administration through emerging technologies including AI, blockchain, and cybersecurity. This comes amid sustained pressure on state governments to demonstrate tangible farmer relief ahead of the next electoral cycle.

All decisions were taken at the Council of Ministers meeting held at the Mantralaya, Bhopal. Further implementation timelines are expected to be detailed by respective departments in the coming weeks.