What is fair and remunerative price (FRP)? How is it paid?

GS Paper 3: Topics Covered: Issues related to direct and indirect farm subsidies and minimum support prices.   Context: The Maharashtra government has issued a government resolution which will allow sugar mills to pay the basic fair and remunerative price (FRP) in two tranches. Sugar mill owners have welcomed the move. However, farmers are not …

Policy on MSP:

GS Paper 3: Topics Covered: Issues related to direct and indirect farm subsidies and minimum support prices.   Context: Farmers are demanding a law for guaranteed minimum support price (MSP).   What is MSP? MSP is the rate at which the government buys grains from farmers. Currently, it fixes MSPs for 23 crops grown in both …