This question was previously asked in
Shift 29/05/2023 3:30 PM - 6:30 PM
Correct Answer
The correct answer is (4).
The following items are part of the agriculture marketing system:
A. Minimum Support Price
B. Buffer Stock
D. Public Distribution System
A. Minimum Support Price (MSP): Minimum Support Price is a price set by the government for certain agricultural products to ensure that farmers receive a fair and guaranteed price for their crops. This price acts as a floor price, and if the market price falls below the MSP, the government typically procures the produce from farmers to support their income. The MSP is an integral part of the agriculture marketing system as it provides price stability and income security for farmers.
B. Buffer Stock: Buffer stock is a reserve of essential commodities, particularly food grains, maintained by the government to stabilise prices and ensure a continuous supply of these items in the market. The government procures excess production from farmers at MSP and stores it in the buffer stock. Buffer stock is essential for maintaining food security and price stability in the agriculture marketing system.
D. Public Distribution System (PDS): The Public Distribution System is a government-run program that distributes essential commodities, including food grains, at subsidised rates to the economically disadvantaged sections of the population. It is a key component of the agriculture marketing system as it ensures that the food grains procured through MSP and buffer stock reach the consumers, especially those in need, at affordable prices.
C. Micro Credit Programmes: Micro-credit programs, which provide small loans to farmers and rural entrepreneurs, are not directly a part of the agriculture marketing system. While they are important for rural development and livelihood improvement, they are not specifically related to the marketing and price stabilisation of agricultural products.
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