Question 55 from UPSC CSE 2018 - Economy

Question

Consider the following:
1. Areca nut
2. Barley
3. Coffee
4. Finger millet
5. Groundnut
6. Sesamum
7. Turmeric
The Cabinet Committee on Economic Affairs has announced the Minimum Support Price for which of the above?

IASCODEX · Accepted Answer

Correct Option: B. 2, 4, 5, and 6 only

Strategy: - Identify crops historically notified for Minimum Support Price (MSP) by the CACP.
- Recognize finger millet, barley, groundnut, and sesamum as crops long under the MSP regime.
- Exclude options containing crops never on the official MSP list, such as areca nut, coffee, and turmeric.
- This systematic elimination process leads to the correct option.

Key Info: The **Minimum Support Price (MSP)** is a government-announced price guarantee in India, designed to protect farmers from sharp falls in farm prices. The Cabinet Committee on Economic Affairs sets MSPs based on recommendations from the Commission for Agricultural Costs and Prices (CACP), a statutory body under the Ministry of Agriculture.

MSP is notified for select crops, primarily major cereals, pulses, oilseeds, and some commercial crops.

- **Crops typically under MSP:** Barley, finger millet (ragi), groundnut, and sesamum are among the 20+ crops supported. Barley and finger millet are important cereals, while groundnut and sesamum are key oilseeds.
- **Crops not under MSP:** Areca nut, coffee, and turmeric are commercial/plantation crops that do not receive MSP. Their support and regulation are managed through other commodity boards or market interventions. For instance, coffee and areca nut fall under the Coffee Board and Areca Nut Board, respectively. Turmeric, grown chiefly for the spice market, lacks official MSP coverage.

IASCODEX · Answer

Option A: 1, 2, 3, and 7 only

IASCODEX · Answer

Option C: 1, 3, 4, 5, and 6 only

IASCODEX · Answer

Option D: 1, 2, 3, 4, 5, 6, and 7

Consider the following: Areca nut Barley Coffee Finger millet Groundnut Sesamum Turmeric The Cabinet Committee on Economic Affairs has announced the Minimum Support Price for which of the above?

Consider the following:

Areca nut

Barley

Coffee

Finger millet

Groundnut

Sesamum

Turmeric

The Cabinet Committee on Economic Affairs has announced the Minimum Support Price for which of the above?