agriculture sector subsidy & food processing section 3 MCQ Questions & Answers Detailed Explanation

Question : 1

With reference to India’s food policy, consider the following statements:

1. It seeks to avert famines by maintaining a buffer stock
2. It ensures remunerative price for the farmers so that they do not switch crops
3. It encourages surplus production for the export market
4. It aims to maintain general price line.

a) 1, 2 and 4

b) 1, 2, 3 and 4

c) 1 and 4

d) 1 and 2

Question : 2

Consider the following reasons :

1. Lack of irrigation facilities, low productivity of land.
2. Single crop mode of cultivation.
3. Indian Agriculture gamble on the monsoon.

a) 1 and 3

b) 1, 2 and 3

c) 2 and 3

d) 2 only

Question : 3

On which of the following item groups, is the share of food expenditures increasing at the fastest rate in India?

a) Pulses

b) Cereals

c) Milk and its Products

d) Vegetables

Question : 4

Which one of the following is the objective of the National Watershed Development project for rainfed areas of India?

a) Integrated Watershed Management

b) Sustainable farming systems

c) Reclamation of Forest Area

d) Both (a) and (b)

Question : 5

Corporation tax in India is levied on income of a company. Which one of the following does not include Corporation tax?

a) Interest on securities

b) Profit from business

c) Capital gain

d) Sale proceed of assets

Question : 6

Which among the following statements is/are true with regard to WTO membership?

1. All WTO members automatically receive the ‘most favoured nation’ status.
2. Over 75% of WTO members are from developing countries, WTO membership allows them access to developed markets at the lower tariff.

a) Both 1 and 2

b) 1 only

c) 2 only

d) Neither 1 nor 2