Minimum Support Prices (MSP) Notes for NABARD Exam
NABARD ARD Notes: Minimum Support Prices (MSP) in India. The NABARD Grade A Exam is one of the most prestigious regulatory body exams in India. The Agriculture and Rural Development (ARD) section is a crucial part of this exam, carrying significant weightage. The ARD section is a major scoring area in the NABARD Grade A Exam, contributing 40% weightage in Phase 1 (Prelims) and 100 marks in Phase 2 (Mains). To ace this section, candidates need well-structured NABARD ARD Notes and PDFs that cover all essential topics comprehensively. The NABARD ARD Notes cover various topics related to Indian agriculture, rural economy, and allied sectors.
One of the best ways to prepare for NABARD ARD section is by using NABARD ARD Notes. At Let’s Study Together (LST) we understand our students’ requirements and keep them in mind, So the LST Team start a series of “NABARD ARD Notes and PDFs” which cover various topics related to Agriculture and Rural Development.
NABARD ARD Notes: Minimum Support Prices (MSP) in India
The Minimum Support Price (MSP) is the pre-announced price at which the government purchases crops from farmers if market prices fall below this threshold. It is determined by the Commission for Agricultural Costs and Prices (CACP) and approved by the Cabinet Committee on Economic Affairs (CCEA). MSP ensures that farmers receive a remunerative price for their produce, safeguarding them against distress sales. The government primarily procures crops like wheat, rice, pulses, and oilseeds through agencies such as the Food Corporation of India (FCI) and NAFED.
What is Minimum Support Price (MSP)?
Minimum Support Price (MSP) is the price at which the government purchases crops from farmers, irrespective of the market fluctuations. It acts as a safety net, ensuring that farmers get a fair price for their agricultural produce. The MSP is announced by the Government of India before the sowing season based on recommendations from the Commission for Agricultural Costs and Prices (CACP). The MSP is intended to prevent distress sales and to stabilize farm income.
Objectives of Minimum Support Prices (MSP)
The key objectives of MSP include:
- Price Stability: Preventing drastic price drops during surplus production.
- Income Security: Ensuring farmers receive a fair price for their crops.
- Food Security: Maintaining buffer stocks for Public Distribution System (PDS).
- Crop Diversification: Encouraging farmers to grow pulses and oilseeds to reduce import dependency.
- Risk Mitigation: Protecting farmers from market uncertainties and climate risks.
- Ensuring Farmers’ Welfare: Provides assured income to farmers to mitigate financial risks.
- Encouraging Agricultural Production: Encourages farmers to cultivate specific crops, ensuring food security.
- Price Stabilization: Prevents sharp price fluctuations in the agricultural market.
- Preventing Distress Sales: Protects farmers from selling their produce at unreasonably low prices.
- Boosting Rural Economy: Ensures economic stability in rural areas by promoting agricultural growth.
Crops Covered Under Minimum Support Prices (MSP) System:
India’s Minimum Support Price (MSP) regime encompasses 23 crucial crops across four major categories, representing about 75% of the country’s total cropped area. This coverage is strategically designed to ensure food security, nutritional balance, and economic stability for millions of farmers. Let’s examine each category in detail:
The government announces MSP for 23 crops divided into the following categories:
- Cereals: Paddy (Rice), Wheat, Maize, Barley, Jowar, Bajra, Ragi
- Pulses: Gram, Arhar (Tur), Moong, Urad, Masur (Lentil)
- Oilseeds: Groundnut, Sunflower, Soybean, Sesame, Niger seed, Mustard
- Commercial Crops: Sugarcane, Cotton, Jute, Copra
Minimum Support Prices (MSP) eBook PDF
Understanding Minimum Support Prices (MSP) is crucial for NABARD Grade A aspirants, as it impacts agricultural economics, farmer welfare, and food security. While MSP has been instrumental in supporting farmers, reforms are needed to address its limitations. Today we are providing you detailed notes eBook PDF on Minimum Support Prices (MSP) in India. Below you can find table of content of this eBook-
- What is Minimum Support Price (MSP)?
- Latest Minimum Support Price
- Objectives of Minimum Support Prices (MSP)
- Minimum Support Price (MSP) – Historical Perspective
- MSP Calculation and Procurement Mechanism
- Need for Minimum Support Prices (MSP) in Indian Agriculture
- Commission for Agricultural Costs and Prices (CACP): India’s MSP Architect
- Crops Covered Under Minimum Support Prices (MSP) System
- Significance of Minimum Support Prices (MSP) in Indian Agriculture
- Key Challenges of Minimum Support Prices (MSP) in India
Download below detailed eBook on Minimum Support Prices (MSP) in India-
These notes are often available in PDF format, making them easily accessible for quick revisions and last-minute preparations. They are curated by experts, ensuring accuracy and relevance to the latest exam pattern.
NABARD ARD Notes & Free eBooks
NABARD ARD Notes & PDFs are indispensable for NABARD Grade A aspirants. They provide a structured, time-saving, and effective way to master the Agriculture and Rural Development section. By using updated and well-researched notes, candidates can boost their scores and enhance their chances of cracking the exam.
| NABARD ARD Notes & Free eBooks | ||
| Cropping Systems | Minimum Support Prices (MSP) | Water Conservation |
| Rural Development Organizations in India | Basics of Agriculture | Impact of Climate Change on Agriculture |
| Agricultural Markets | Farm & Agricultural Engineering | Types of Farming |
| Horticulture | Animal Husbandry | Krishi Vigyaan Kendras |
| Fisheries | Agricultural Credit System | Agriculture Finance |
| Food Security in India | Agricultural Organisations | Irrigation Management |
| Institutional Financing Agencies | Types of Soil | More……. |
A Complete Book for NABARD Agriculture & Rural Development (ARD) 2025
At Let’s Study Together (LST) we understand our students’ requirements and keep them in mind, So the LST Team created a Very special “A Complete Guide of Agriculture and Rural Development ARD Book for NABARD Grade A Exam – 2000+ Questions with Detailed Answers” to crack NABARD Grade A & B Prelims 2025.
NABARD ARD Practice Questions
The Agriculture & Rural Development (ARD) section is a high-weightage section in the NABARD Grade-A exam. In real exam difficulty level of NABARD Grade A ARD Questions are moderate to high, but with consistent preparation, you can score well. With the right preparation, candidates can score well in this section, boosting their overall rank. Below you can practice with NABARD Grade-A ARD Questions –
| NABARD ARD Practice Questions | ||
| ARD Practice Set-1 | ARD Practice Set-2 | ARD Practice Set-3 |
| ARD Practice Set-4 | ARD Practice Set-5 | More- Click Here |
Frequently Asked Questions (FAQs): Minimum Support Prices (MSP)
