Agriculture Test - 19

Jute comes from the stem of jute plants, while coir comes from the husk of coconut fruit.

Spices were exported to different countries of the world and farmers of south India were encouraged to grow these crops.

1951.

Under the globalization, particularly after 1990 farmers in India have been exposed to new challenges.

Regulation of agricultural markets or the establishment of regulated markets in India dates back to 1886 when the Karanja Cotton Market was established as a regulated market under the Hyderabad Residency's order. Subsequently, in the year 1897, the 'Berar Cotton and Grain Markets Law' was enacted.

Minimum Support Price (MSP) is a form of market intervention by the Government of India to insure agricultural producers against any sharp fall in farm prices. The minimum support prices are announced by the Government of India at the beginning of the sowing season for certain crops on the basis of the recommendations of the Commission for Agricultural Costs and Prices (CACP). MSP is price fixed by Government of India to protect the producer - farmers - against excessive fall in price during bumper production years. The minimum support prices are a guarantee price for their produce from the Government. The major objectives are to support the farmers from distress sales and to procure food grains for public distribution. In case the market price for the commodity falls below the announced minimum price due to bumper production and glut in the market, government agencies purchase the entire quantity offered by the farmers at the announced minimum price.

Farmers are withdrawing their investment from agriculture causing a downfall  in the employment in agriculture.