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13

Question 13

The Fair and Remunerative Price (FRP) of sugarcane is approved by the

AOptions

A
A) Cabinet Committee on Economic Affairs
B
B) Commission for Agricultural Costs and Prices
C
C) Directorate of Marketing and Inspection, Ministry of Agriculture
D
D) Agricultural Produce Market Committee

BSolution

The Fair and Remunerative Price (FRP) of sugarcane is the minimum price that sugar mills are legally obligated to pay to sugarcane farmers. This price is approved by the Cabinet Committee on Economic Affairs (CCEA), which is a key decision-making body of the Government of India. The CCEA's decision is typically based on the recommendations provided by the Commission for Agricultural Costs and Prices (CACP), which advises the government on minimum support prices (MSPs) and FRPs for various agricultural commodities. However, the final approval authority rests with the CCEA.

Diagram for Q13

CStrategy

For questions concerning agricultural pricing and policy, it's important to understand the institutional mechanisms involved. Distinguish between bodies that make recommendations (like CACP) and those that give final approval (like CCEA). Knowledge of the specific committees and their roles is crucial.

DSyllabus Analysis

This question is from the Indian Economy section, specifically agricultural economics, pricing mechanisms, and government policy in agriculture.

EQuestion Analysis

Medium. While CACP's role is well-known, identifying the ultimate approving authority (CCEA) requires precise knowledge of the decision-making process.