With drought declared in half of India, the government Thursday decided to increase the minimum support prices of cereals and pulses to help farmers who have been hit by the poor monsoon.

The support price for paddy has been hiked by Rs.100 per quintal, while that for pulses is up Rs.300 per quintal, Home Minister P. Chidambaram told reporters here after a cabinet meeting presided over by Prime Minister Manmohan Singh.