Madhya Pradesh Cabinet approved development proposals worth Rs 10,800 crore. Major decisions were taken on development of cities, green gram procurement, irrigation projects and take-home ration.
Bhopal. In the meeting of the State Cabinet held on July 14 under the chairmanship of Madhya Pradesh Chief Minister Dr. Mohan Yadav, many important proposals related to the development and public interest of the state were approved. The Cabinet agreed to a total of schemes worth more than Rs 10,800 crore. These include important decisions like Rs 8,445 crore for urban infrastructure development, free government guarantee of Rs 1,587 crore for moong procurement in the interest of farmers and continuation of the Kundalia Major Irrigation Project.
MP Cabinet Decisions: Development proposals worth Rs 10,800 crore approved
The cabinet meeting approved various proposals worth over Rs 10,800 crore aimed at strengthening the state’s infrastructure and accelerating public welfare schemes. The government says that these decisions will provide urban development, expansion of irrigation facilities, relief to farmers and strengthening of the administrative system.
Kundaliya Irrigation Project: Kundaliya Major Irrigation Project will continue till 2031
The Cabinet approved the continuation of the Kundalia Major Irrigation Project of the Water Resources Department for the period of the 16th Central Finance Commission i.e. from 1 April 2026 to 31 March 2031. Rs 245 crore 45 lakh has been sanctioned for this. Located in Rajgarh district, the objective of this project is to develop irrigation potential in about 1 lakh 39 thousand 600 hectare area of Rajgarh and Agar-Malwa districts through dam construction and micro irrigation system. The government believes that this will provide long-term benefits to farmers and help in increasing agricultural production.
Moong Procurement: Government guarantee of Rs 1,587 crore for moong procurement
In the interest of farmers, the Cabinet decided to provide free government guarantee of Rs 1,587 crore for moong purchased in excess of the target under the Price Support Scheme of the Government of India in the Rabi year 2023-24 (marketing year 2024-25). According to the decision, government guarantee will be given for the remaining amount of Rs 396 crore of credit limit taken from Punjab National Bank for a period of six months from July 19, 2026 to January 18, 2027. Whereas, for the remaining amount of Rs 1,191 crore of credit limit taken from State Bank of India, one year free government guarantee will be provided from July 3, 2026 to July 2, 2027.
Take Home Ration: The responsibility of take-home ration again goes to the Women and Child Development Department
The Cabinet has decided to withdraw the arrangements for production and distribution of take-home ration from the Madhya Pradesh State Livelihood Forum and hand it over to the Women and Child Development Department. Under the interim arrangement, the department has been given the authority to provide supplementary nutritional food through self-help groups. Also, the system of take-home ration will be operated through a short-term tender process until the new guidelines of the Government of India are implemented. After the new central guidelines are issued, the department will implement the permanent arrangement.
Urban Infrastructure: Rs 8,445 crore approved for development of cities
The state government has approved Rs 8,445 crore to speed up infrastructure development in urban areas. This amount will be spent for the next five years from the funds received from the surcharge on registration and stamp duty under the Municipality Act. This fund will be used by Municipal Corporations, Municipal Corporations and Municipal Councils for road, drainage, other infrastructure projects in their areas and repayment of loans taken for these projects.
Commercial Tax Department: Rs 521 crore approved for running the office of Commercial Tax Department
The Cabinet has approved Rs 521 crore 4 lakh for continuing the three establishment schemes of the Commercial Tax Department from the financial year 2026-27 to 2030-31. This amount includes Rs 60 crore 81 lakh for the operation of the headquarters, Rs 434 crore 81 lakh for the operation of the district offices and Rs 25 crore 42 lakh for the regional offices. Under these schemes, expenses like salaries and allowances of employees, office operations, payment for business services, maintenance of machinery, furniture and government vehicles will be incurred.