agriculture sector subsidy & food processing section 2 MCQ Questions & Answers Detailed Explanation

Answer: (d)

Capital receipts and payments do not form part of current account of Balance of Payment.

Answer: (d)

Answer: (d)

Co-operative societies, Commercial Banks and Regional Rural Banks are sources of agriculture finance in India.

They provide finance under various schemes run by central government and state governments to purchase seeds, implements, fertilizer, pesticides etc.

Answer: (c)

Cooperative collective farming, where land is irrevocably surrendered to the collective

Answer: (d)

Provision of Rs. 9217 crore has been made for this scheme in the Budget of 2012-13. It includes 9 sub-components.

These are:

1. a special initiative for pulses and oilseeds development in selected pulses and oilseed growing villages in rain-fed areas,
2. the scheme to bridge the yield gap in agriculture in eastern India,
3. an initiative on vegetable clusters,
4. the accelerated fodder development programme,
5. the rain-fed area development programme,
6. promotion of oil palm,
7. Nutri- cereals,
8. national mission for protein supplements and
9. saffron mission.

Answer: (c)

Government implements a Market Intervention Scheme (MIS) at the request of a State/UT Government for the procurement of agricultural and horticultural commodities not covered under the Price Support Scheme.

The MIS is implemented in order to protect the growers of these commodities from making distress sales in the event of the bumper crop when the prices tend to fall below the economic level/cost of production.

Losses, if any, incurred by the procuring agencies are shared by the Central Government and the concerned State Government on a 50:50 basis (75:25 in the case of the North-Eastern States).

However, the amount of loss to be shared between the Central Government and the concerned State Government is restricted to 25% of the value of procurement. Profit, if any, earned by the procuring agencies are retained by them.