Question
Statement: With the record output, sugar prices have
dropped from an average of Rs 37 a kg in the previous season to Rs 26 in the current season which results in the sugar mills’ dues to farmers stands at Rs 22,000 crore. Which of the following is an immediate course of action for the given statement? I. The cabinet committee should allocate Rs 7000 crore package to sugar sector with a special Cess under GST to alleviate distress among sugarcane farmers. II. The government should procure sugar from mills at a xed minimum price to help them clear dues to farmers. III. The government should levy minimum prices and oer special incentives to increase the production of molasses and ethanol.Solution
Statement I is the immediate course of action as it will help the sugar mills to clear o the outstanding arrears of the sugarcane farmers. Statement II is also an immediate course of action as it is talking about a fixed minimum price of the sugar which will help the farmers and in the statement III is talking about to increase the production of molasses and ethanol which is not an immediate course of action.
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