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TNPSC Group-I 2021 · Question 72 of 148

According to the evaluation report of NITI Aayog related to Minimum Support Price (MSP), which of the following statements is/are correct? (a) MSP is declared before the sowing season. (b) The idea behind MSP is to give guaranteed prices to the farmers and save them from price fluctuations. (c) With globalization resulting in free trade in agricultural commodities, it is not important to protect the farmers from unwarranted fluctuations in prices.

Economy - Agriculture

  1. A(a), (c) only
  2. B(a), (b) onlyCorrect
  3. C(b) only
  4. D(c) only

Answer: B. (a), (b) only

Explanation

MSP is announced before sowing to assure farmers of guaranteed prices against price fluctuations; protection remains important.

Source: TNPSC Group-I Prelims (held 3 Jan 2021) - official paper via examrace.com

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