The correct answer is (c) Commission for Agricultural Costs and Prices (CACP).
The CACP is an autonomous body set up by the Government of India in 1965 to advise the government on agricultural prices. It is responsible for making recommendations on the minimum support price (MSP) for various crops, as well as on other issues related to agricultural prices.
The CACP is composed of a chairman and a number of members, who are appointed by the government. The chairman is usually a retired judge or a senior civil servant. The members are drawn from a variety of fields, including agriculture, economics, and finance.
The CACP makes its recommendations based on a variety of factors, including the cost of production, the demand for the crop, and the prices of other crops. The CACP’s recommendations are usually accepted by the government, and they form the basis for the MSPs that are announced each year.
The MSP is a price that the government guarantees to pay to farmers for their produce. The MSP is intended to ensure that farmers get a fair price for their produce, and to protect them from fluctuations in market prices.
The MSP is not a fixed price. It is revised each year, based on the recommendations of the CACP. The MSP is usually higher for crops that are considered to be essential, such as rice and wheat.
The MSP is an important tool for ensuring the welfare of farmers. It helps to protect them from exploitation by middlemen, and it ensures that they get a fair price for their produce. The MSP is also an important tool for ensuring food security in the country.