Sugar Subsidy for AAY Families: UPSC Exam Insights

Sugar Subsidy for Antyodya Anna Yojna (AAY) Families

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Context

The Union Cabinet, led by Prime Minister Shri Narendra Modi, has approved a two-year extension for the scheme of sugar subsidy for Antyodya Anna Yojna (AAY) families through the Public Distribution Scheme (PDS) until 31 March 2026.

Subsidy Details:

Under the scheme, the Central Government provides a subsidy of Rs.18.50 per kg per month of sugar to AAY families in participating States.
This subsidy is a crucial measure to add nutritional value to the diet of the economically disadvantaged.

Financial Impact:

The extension approval is expected to extend benefits exceeding Rs.1850 crore during the period of the 15th Finance Commission (2020-21 to 2025-26).
Approximately 1.89 crores AAY families across the country are expected to benefit from this scheme.

Continued Subsidy Distribution:

With the approval, the Government will persist in providing subsidies to participating States for the distribution of sugar to AAY families through the PDS. States hold the responsibility of procuring and distributing sugar under this scheme.

READ ALL ABOUT SUGARCANE INDUSTRY: https://www.iasgyan.in/blogs/sugarcane-industry-38

PRACTICE QUESTION

Question:

The sugarcane industry plays a significant role in India's agricultural landscape. Consider the following statements regarding the sugarcane industry:

1.Sugarcane is a major cash crop in India and is primarily grown for the production of jaggery.

2.The majority of sugarcane cultivation in India is rainfed, with limited reliance on irrigation.

3.The Fair and Remunerative Price (FRP) for sugarcane in India is determined by the Ministry of Agriculture and Farmers' Welfare.

Choose the correct code:

A) 1 only

B) 2 and 3 only

C) 3 only

D) 1, 2, and 3 Top of Form

Answer: C) 3 only

Explanation:

Sugarcane is a major cash crop in India and is primarily grown for the production of jaggery: This statement is incorrect. While sugarcane is indeed a major cash crop in India, it is primarily grown for the production of sugar, not jaggery. India is one of the largest producers of sugar globally, and sugarcane is a key raw material for the sugar industry.
The majority of sugarcane cultivation in India is rainfed, with limited reliance on irrigation: This statement is generally true that a significant portion of sugarcane cultivation in India relies on rainfall, although there are irrigated areas as well.
The Fair and Remunerative Price (FRP) for sugarcane in India is determined by the Ministry of Agriculture and Farmers' Welfare: This statement is correct. The Fair and Remunerative Price (FRP) for sugarcane in India is indeed determined by the Ministry of Agriculture and Farmers' Welfare. It is the minimum price that sugar mills are required to pay to sugarcane farmers.

Therefore, the correct answer is C) 3 only, as statement 2 is not provided in the options and the other two statements are evaluated as explained above.