UPSC Prelims Practice Questions — Farmers’ body rejects MSP for kharif crops, to hold protests
Q1. The task of computing the A2+FL and C2 costs of cultivation for mandated crops and recommending the corresponding Minimum Support Price is carried out by which one of the following?
- A. Commission for Agricultural Costs and Prices (CACP)
- B. Food Corporation of India (FCI)
- C. National Bank for Agriculture and Rural Development (NABARD)
- D. Directorate of Economics and Statistics
Q2. With reference to the cost concepts used by CACP and the Swaminathan Committee formula, consider the following statements:
1. A2 covers actual paid-out costs such as seeds, fertilisers and hired labour.
2. A2+FL adds the imputed value of family labour to A2.
3. C2 adds the imputed rent on owned land and interest on fixed capital over and above A2+FL.
4. The National Commission on Farmers (Swaminathan) recommended fixing MSP at A2+FL plus 50%.
Which of the statements given above is/are NOT correct?
- A2 covers actual paid-out costs such as seeds, fertilisers and hired labour.
- A2+FL adds the imputed value of family labour to A2.
- C2 adds the imputed rent on owned land and interest on fixed capital over and above A2+FL.
- The National Commission on Farmers (Swaminathan) recommended fixing MSP at A2+FL plus 50%.
- A. 1 and 2
- B. 3 only
- C. 4 only
- D. 2 and 4
Q3. Which one of the following most accurately describes the institutional status of the Commission for Agricultural Costs and Prices (CACP)?
- A. An advisory body and attached office of the Ministry of Agriculture and Farmers Welfare, whose MSP recommendations are not statutorily binding
- B. A statutory body established under a dedicated Act of Parliament with binding pricing powers
- C. A constitutional body created under a specific Article of the Constitution
- D. A regulatory authority functioning under NITI Aayog
Q4. The increase in Minimum Support Prices for 14 kharif crops for Marketing Season 2026-27 was formally approved by which one of the following?
- A. Cabinet Committee on Economic Affairs (CCEA)
- B. Commission for Agricultural Costs and Prices (CACP)
- C. Cabinet Committee on Political Affairs
- D. NITI Aayog Governing Council
Q5. Regarding the MSP approved for Kharif Marketing Season 2026-27, consider the following pairings:
1. Moong — margin over cost of production of 61%.
2. Bajra — margin over cost of production of 56%.
3. Sunflower Seed — highest absolute increase in MSP (Rs.622 per quintal).
4. Cotton — highest margin over cost of production at 61%.
Which of the above pairs is/are NOT correctly matched?
- Moong — margin over cost of production of 61%.
- Bajra — margin over cost of production of 56%.
- Sunflower Seed — highest absolute increase in MSP (Rs.622 per quintal).
- Cotton — highest margin over cost of production at 61%.
- A. 4 only
- B. 3 only
- C. 1 and 4
- D. 2 and 3
Q6. The Samyukt Kisan Morcha's central demand of 'MSP at C2+50%' is best defined as which one of the following?
- A. MSP fixed at the comprehensive cost of cultivation C2 (including imputed rent on land and interest on capital) plus a 50% margin
- B. MSP fixed only at the paid-out cost A2 plus a 50% margin
- C. A flat 50% subsidy applied to every farm input purchased by cultivators
- D. A guarantee that the government will procure all of every mandated crop at fixed rates
Q7. The Samyukt Kisan Morcha, which rejected the KMS 2026-27 kharif MSP, is described as an umbrella coalition of approximately how many farmer outfits?
- A. Around 5
- B. Around 50
- C. Around 500
- D. Around 5,000
Q8. The annual Minimum Support Prices for the 22 mandated agricultural crops are announced by which one of the following?
- A. Department of Agriculture and Farmers Welfare, Ministry of Agriculture and Farmers Welfare
- B. Department of Food and Public Distribution, Ministry of Consumer Affairs, Food and Public Distribution
- C. Ministry of Commerce and Industry
- D. Department of Rural Development, Ministry of Rural Development
Q9. The Farm Laws Repeal Bill, 2021, which repealed all three of the 2020 central farm laws, was piloted in Parliament by which Ministry?
- A. Ministry of Agriculture and Farmers Welfare
- B. Ministry of Consumer Affairs, Food and Public Distribution
- C. Ministry of Commerce and Industry
- D. Ministry of Law and Justice
Q10. Under the price-support arrangements, the Food Corporation of India (FCI) together with State agencies extends direct MSP price support to how many crops — namely paddy and wheat?