agriculture sector subsidy & food processing section 10 MCQ Questions & Answers Detailed Explanation

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The following question based on Agriculture Sector, Subsidy and Food Processing topic of indian economy mcq

Questions : Which is the agency the Government has engaged to grade and standardise various products?

(a) Directorate of Marketing and Inspection

(b) Food Corporation of India

(c) Bureau of Indian Standards

(d) Central Statistical Organisation

The correct answers to the above question in:

Answer: (a)

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

It undertakes:

  1. Standardisation,
  2. Grading and quality control of agricultural and allied produce,
  3. Market Research and
  4. Surveys along with other functions.

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Read more agriculture sector subsidy and food processing Based Indian Economy Questions and Answers

Question : 1

Which of the following has not been a component of the agriculture strategy that brought about the Green Revolution ?

a) Guaranteed maximum prices

b) New agricultural technology

c) Greater intensity of cropping

d) Package of inputs

Answer: (a)

Guaranteed maximum prices have not been a component of the agriculture strategy that brought about the Green Revolution.

The strategy aimed at increasing the yield of crops using fertilizer, pesticides and high yielding varieties in agriculture.

Question : 2

The central nodal agency for implementing the price support operations for commercial crops is:

a) NABARD

b) NAFED

c) TRIFED

d) FCI

Answer: (b)

Question : 3

Consider the following statements regarding the 'Nutrient Based Subsidy' (NBS) Scheme.

  1. It is given for phosphatic and potassic fertilizers
  2. It is given for urea
  3. The prices of fertilizers under the nutrient-based scheme are regulated by the government
  4. The subsidy is based on per kg of nutrients present in the fertilizer
Select the correct answer using the code given below:

a) (i) & (iv) only

b) (i) & (iii) only

c) (ii) & (iii) only

d) (iii) & (iv) only

Answer: (a)

Nutrient Based Subsidy" is applicable for Phosphatic and Potassic (P&K) fertilizers only and not for Urea which is a Nitrogenous fertilizer. Govt. fixes the subsidy annually based on the per kg of nutrient present in the fertilizer.

As the subsidy given by the Govt. is fixed, so the market price of the fertilizers varies with the change in international prices.

So, market prices are not regulated by the government rather it is decontrolled.

Question : 4

Consider the following statements:

  1. 14 major dairying states account for more than 90% of India’s Milk Production
  2. National Dairy Plan was launched to improve the quality of Milch animals in these 14 states
Which among the above statements is/are correct?

a) Both 1 and 2 are correct

b) Only 1 is correct

c) Only 2 is correct

d) Neither 1 nor 2 is correct

Answer: (b)

Question : 5

Consider the following statements

  1. The farm power availability in India is much lower than that of Korea.
  2. India is meeting 80% of its urea requirement through indigenous production.
Which of the statements given above is/are correct?

a) Only 2

b) Only 1

c) Both 1 and 2

d) Neither 1 nor 2

Answer: (c)

According to the Department of Agriculture, the share of agriculture workers and draught animals (farm power sources in agriculture) has come down from 63.5 per cent in 1971-72 to 13.67 per cent in 2009-10, whereas the share of tractors, power tillers, and motors has gone up from 36.51 per cent to 86.33 per cent during the same period.

Although India is the largest manufacturer of tractors in the world, accounting for one-third of the global production, farm mechanisation in India is still at a nascent stage, with the average farm power availability in the country lower than in countries such as Korea, Japan and the US.

India is meeting 80 per cent of its urea requirement through indigenous production but is largely import-dependent for meeting the requirements of potassic (K) and phosphatic (P) fertilizers. Chemical fertilizers have played a significant role in the development of the agricultural sector.

Consumption of chemical fertilizers has steadily increased over the years.

Question : 6

The importance of agriculture in Indian economy is indicated by its contribution to which of the following?

a) Industrial development and international trade

b) Supply of food-grains

c) National Income and Employment

d) All the above

Answer: (d)

The importance of agriculture in the Indian Economy is indicated by its contribution to national income, industrial development and supply of foodgrains.

It contributes around 13.7% to GDP, supplies raw material for the development of industries along with supplying foodgrains for livelihood.

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