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EconomyMedium

Which crop enjoys the widest margin over the all-India weighted average cost of production under the rabi MSP for 2027-28?

  1. A.Wheat
  2. B.Safflower
  3. C.Lentil (masur)
  4. D.Gram

Correct answer

A. Wheat

Explanation

The correct answer is wheat. The expected return over the all-India weighted average cost of production works out to 106 per cent for wheat, the highest among the six mandated rabi crops of the season. Option B, safflower, is wrong because safflower sits at the bottom of this list with a margin of 50 per cent, even though it drew the largest absolute rise in rupee terms. Option C, lentil or masur, is wrong because its margin is 92 per cent, below that of wheat and also below rapeseed and mustard at 96 per cent. Option D, gram, is wrong because gram carries a margin of 59 per cent, only a little above barley at 58 per cent. The margin is measured against a cost that includes hired labour, rent on leased land, seed, fertiliser, irrigation charges, depreciation, interest on working capital and the imputed value of family labour.

Read the full article: CCEA Clears Rabi MSP Rise for 2027-28, Safflower Up Rs 675

Q2.EconomyMedium

The rule that minimum support price should be at least one and a half times the all-India weighted average cost of production was announced in which Union Budget?

  1. A.Union Budget 2014-15
  2. B.Union Budget 2018-19
  3. C.Union Budget 2020-21
  4. D.Union Budget 2022-23
Show answer
Correct answer: B. Union Budget 2018-19

The rabi price revision for marketing season 2027-28 was described as being in line with the announcement made in that Budget, which set the benchmark of fixing a floor price at no less than one and a half times the all-India weighted average cost of production.