The expected returns to farmers by way of MSP (Minimum Support Price) over their cost of production for barley for marketing season 2021–22 is estimated at ______.

Question

Question

This question was previously asked in

SSC CGL 2021 Tier-I (Held On : 20 April 2022 Shift 2)

Answer 1

The correct answer is 65%

Key Points

The expected returns to farmers by way of MSP (Minimum Support Price) over their cost of production for barley for marketing season 2021–22 is estimated at 65%.
Minimum Support Price:
- Minimum Support Price (MSP) is a form of market intervention by the Government of India to insure agricultural producers against any sharp fall in farm prices.
- The minimum support prices are announced by the Government of India at the beginning of the sowing season for certain crops.
- The MSP is decided on the basis of the recommendations of the Commission for Agricultural Costs and Prices (CACP).
- Government announces minimum support prices (MSPs) for 22 mandated crops and fair and remunerative prices (FRP) for sugarcane.
- The list of crops is as follows:
  - Cereals (7) - paddy, wheat, barley, jowar, bajra, maize, and ragi.
  - Pulses (5) - gram, arhar/tur, moong, urad, and lentil.
  - Oilseeds (8) - groundnut, rapeseed/mustard, toria, soybean, sunflower seed, sesamum, safflower seed, and nigerseed.
  - Raw cotton.
  - Raw jute.
- MSP guaranteed prices to save farmers from distress sales.
- The MSP is announced at the beginning of the sowing season for certain crops on the basis of the recommendation of the Commission for Agricultural Costs and Prices (CACP, 1985).
- The MSPs are fixed for the following purposes:
- To invest more by farmers in the farm sector.
- To motivate farmers to adopt improved farm technologies.
- To increase production and overall farmers' income.