Question

What is the Minimum Support Price in Rupees per Quintal of Common Paddy announced by the Government of India for the Kharif 2016-17 season?
1. Rs. 1,470
2. Rs. 1,510
3. Rs. 1,625
4. Rs. 1,650

Answer 1

Correct Answer - Option 1 : Rs. 1,470

The correct answer is Rs.1470.

• Rs. 1470  is the Minimum Support Price in Rupees per Quintal of Common Paddy announced by the Government of India for Kharif 2016-17 season.
  • The minimum support price (MSP) is an advisory price signal that is part of a larger set of agricultural policies in parts of India.
  • It is defined as the minimum price that the government deems as remunerative for the farmer, thereby deserving some support.
  • MSP is the price at which government agencies procure particular crops from the farmer.
  • As of now, CACP recommends MSPs of 23 commodities:
    • 7 cereals (paddy, wheat, maize, sorghum, pearl millet, barley, and ragi).
    • 5 pulses (gram, tur, moong, urad, lentil).
    • 7 oilseeds (groundnut, rapeseed-mustard, soybean, sesamum, sunflower, safflower, nigerseed).
    • 4 commercial crops (Copra. Sugarcane, Cotton, Raw jute).

• In 1964, Under L. K. Jha, the Report of the Jha Committee on Foodgrain Prices was the first step in organizing an agricultural price policy for the country.
• In January 1965,  Agricultural Prices Commission (APC) was set up.
• In August 1965,  Under M. L. Dantwala, APC submits its first report. The commission suggests MSPs for paddy.
• In 1985,  Agricultural Prices Commission was reconstituted as the Commission for Agricultural Costs and Prices (CACP).