Question 10 (a) - NCERT Questions - Chapter 4 Class 9 Economics - Food security in India - Economics

Minimum support price

Answer:

Answer to be written in the exam:  

Minimum Support Price:

• The FCI purchases wheat and rice from the farmers i n states where there is surplus production. 
  
  
• The farmers are paid a preannounced price for their crops . This price is called Minimum Support Price (MSP).
  
  
• The MSP is declared by the government every year before the sowing season to provide incentives to farmers for raising the production of these crops.