2019 · Q89
Which one of the following factors is not considered in determining the Minimum Support Price (MSP) in India?
General KnowledgeStatic General Awareness
- ACost of production
- BPrice trends in international and domestic markets
- CCost of living index
- DInter-crop price parity
Explanation
While recommending MSP, the Commission for Agricultural Costs and Prices considers cost of production, demand–supply, domestic and international price trends, inter-crop price parity and the likely effect on consumers — but not a ‘cost of living index’ as such. The Commission's terms of reference list specific economic factors, and no cost-of-living index figures among them. Hence that factor is not considered by the CACP.