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Bihar Fixes Paddy MSP at 2441 Rupees for Procurement Season

Source:patnapress ↗

Why It Matters

Crucial for BPSC aspirants tracking Bihar's agricultural policies, state budget implementations, MSP updates, and rural economy frameworks.

Summary

The Bihar government has set the Minimum Support Price (MSP) for paddy at Rs 2,441 per quintal, with state-wide procurement operations set to begin on November 1 to support local farmers and regulate grain distribution.

Key Points

  • The Bihar government fixed the Minimum Support Price (MSP) for paddy at Rs 2,441 per quintal for the Kharif marketing season.
  • Paddy procurement across the state is scheduled to begin on November 1.
  • The initiative aims to ensure fair remuneration for farmers and streamline state-level food grain procurement through primary agricultural credit societies (PACS).

Important Terms

Minimum Support Price (MSP)

A form of agricultural market intervention where the government guarantees a baseline price to protect farmers against sharp price drops and ensure food security.

UPSC context

Crucial for BPSC General Studies Paper II (Economic Geography & Agriculture) and Bihar economic governance questions.

Source
Government of Bihar

The executive branch of the state government responsible for formulating and implementing agricultural policies, procurement targets, and cooperative distribution frameworks across Bihar.

UPSC context

Tested in BPSC prelims and Mains regarding state administrative machinery, food security policy, and rural development in Bihar.

Source

Static Concepts Connected

Bihar Economy and Governance - Agriculture

What is the role of Primary Agricultural Credit Societies (PACS) in Bihar's agricultural economy?

  • Grassroots Credit: PACS serve as the lowest-tier cooperative credit institutions in India, providing short-term and medium-term agricultural loans to farmers.
  • Procurement Agency: In Bihar, PACS act as the frontline procurement agencies for purchasing food grains like paddy and wheat at the Minimum Support Price (MSP).
  • Institutional Link: They bridge the gap between farmers and state-level cooperative marketing federations (like BICOMA and SFC), ensuring institutional credit delivery.

Cross-Topic Patterns

  • PACS role in decentralized agricultural procurement

    Bihar's agricultural supply chain relies heavily on PACS, linking state-level cooperative credit structures directly with national initiatives like AgriStack and digital land records.

Expect a matching or statement-based question on Bihar's paddy MSP rates (Common vs Grade A) and PACS operational timelines.

Linked PYQs · 2

Linked PYQs · 2

  • 2024-EBPSC_PRELIMSGS1

    What is the contribution of agriculture in the Gross Domestic Product (GDP) of Bihar?

  • 2024-IBPSC_PRELIMSGS1

    In which district of Bihar, wheat crop production is maximum?