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Which one of the following is announced by the government in support of a crop?
1. Maximum support price
2. Minimum support price
3. Moderate support price
4. Influential support price
Select correct answer
  • a)
    1 Only
  • b)
    1 and 2 Only
  • c)
    2 Only
  • d)
    2, 3 and 4 only
Correct answer is option 'C'. Can you explain this answer?
Verified Answer
Which one of the following is announced by the government in support ...
  • 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 on the basis of the recommendations of the Commission for Agricultural Costs and Prices (CACP).
  • MSP is price fixed by the Government of India to protect the producer -farmers - against excessive fall in price during bumper production years.
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