agriculture sector subsidy & food processing section 1 MCQ Questions & Answers Detailed Explanation

Answer: (d)

The Central Government formulated the Farm Income Insurance Scheme (FIIS) during 2003-04. The two critical components of a farmer’s income are yield and price. FIIS targeted these two components through a single insurance policy so that the insured farmer could get a guaranteed income.

The scheme provided income protection to the farmers by insuring production and market risks. The insured farmers were ensured minimum guaranteed income (that is, average yield multiplied by the minimum support price). If the actual income was less than the guaranteed income, the insured would be compensated to the extent of the shortfall by the Agriculture Insurance Company of India.

Initially, the scheme would cover only wheat and rice and would be compulsory for farmers availing crop loans. NAIS (explained in the section below) would be withdrawn for the crops covered under FIIS but would continue to be applicable for other crops.

Answer: (c)

The growth in agriculture and allied sectors is a necessary condition for inclusive growth in India.

Agriculture including allied activities accounted for about 55% employment in the country according to census 2011.

Answer: (a)

A Producer Organisation (PO) is a legal entity formed by primary producers, viz. farmers, milk producers, fishermen, weavers, rural artisans, craftsmen. A PO can be a producer company, a cooperative society or any other legal form which provides for sharing of profits/benefits among the members.

The main aim of PO is to ensure better income for the producers through an organization of their own. Farmers Producer Organization (FPO) is one type of PO where the members are farmers.

Small Farmers’ Agribusiness Consortium (SFAC) and NABARD are providing support for the promotion of FPOs.

Answer: (a)

The Directorate of Marketing and Inspection (DMI) headed by the Agricultural Marketing Advisor, Department of Agriculture & Cooperation (DAC) implements agricultural marketing policies and programmes of the Government of India.

It undertakes:

• Standardisation,
• Grading and Quality Control of Agricultural and Allied produce,
• Market Research and Surveys along with other functions.

Answer: (b)

According to The National Food for Work Programme, food subsidy should be better targeted through targeted public distribution system and specific programmes for the poor like Food for Work Programme.

The National Food for Work Programme was launched on 14 November 2004 in 150 of the most backward districts of India with the objective of generating supplementary wage employment. The Planning commission is not a constitutional body.

Answer: (d)

The Indian Institute of Sugarcane Research (acronym IISR) is an autonomous institute of higher learning, established under the umbrella of the Indian Council of Agricultural Research (ICAR) by the Ministry of Agriculture, Government of India for advanced research in sugar cane agriculture.

The institute is located on Raibareli Road, Dilkusha in Lucknow, Uttar Pradesh, India.