UPSC Prelims 2004·GS1·economy·economic sectors and development

Consider the following statements: 1. Regarding the procurement of food grains, Government of India follows a procurement target rather than an open-ended procurement policy. 2. Government of India announces minimum support prices only for cereals. 3. For distribution under Targeted Public Distribution System (TPDS), wheat and rice are issued by the Government of India at uniform Central issue prices to the States/Union Territories. Which of the statements given above is/ are correct?

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  1. A1 and 2
  2. B2 only
  3. C1 and 3
  4. D3 onlyCorrect

Explanation

Statement 1 is incorrect. The Government of India, through agencies like FCI, follows an open-ended procurement policy for wheat and paddy, meaning all grains conforming to specifications offered by farmers are procured at MSP, not a fixed target. Statement 2 is incorrect. The Government announces Minimum Support Prices (MSPs) for 22 mandated crops, which include not only cereals (like paddy, wheat, jowar) but also pulses (like gram, arhar), oilseeds (like groundnut, mustard), and commercial crops (like cotton, copra). Statement 3 is correct. Under the Targeted Public Distribution System (TPDS), the Central Government allocates wheat and rice to States/Union Territories at uniform Central Issue Prices (CIPs) for distribution to beneficiaries. Therefore, only statement 3 is correct, making D the correct option.
economy: Consider the following statements: 1. Regarding the procurement of food grains, Government of India follows a procuremen
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