MSMEs and Food Processing

Q1.Consider the following statements regarding the MSME sector in India based on the provided information: 1. The recent revision in MSME classification increased the investment limits by 2 times and turnover limits by 2.5 times. 2. According to data from the Ministry of Statistics and Programme Implementation, the share of MSME Gross Value Added (GVA) in India’s total GDP has shown a continuous and uninterrupted increase from the financial year 2019-20 to 2022-23. 3. In the financial year 2023-24, MSME-related products constituted more than 50 per cent of India’s total exports. How many of the above statements are correct?

Q2.Consider the following two statements: Statement-I: The policy initiatives introduced in the Union Budget 2025-26, such as the revised classification criteria for MSMEs, are intended to serve as a catalyst for the development of 'New India'. Statement-II: The upward revision of investment and turnover limits for MSMEs is designed to help them scale up operations, improve technological adoption, and access better resources. Which one of the following is correct in respect of the above statements?

Q3.Consider the following statements regarding Micro, Small, and Medium Enterprises (MSMEs) in India: 1. The Ministry of MSME is the nodal body responsible for collecting and publishing official data on the share of MSME Gross Value Added (GVA) in India's GDP. 2. Under the revised classification, an enterprise with an investment of ₹20 crore and a turnover of ₹90 crore is classified as a 'Medium' enterprise. 3. The Production Linked Incentive (PLI) Scheme is an initiative exclusively designed for the MSME sector to harness the 'Make in India' vision. How many of the above statements are correct?

Q4.With reference to government schemes for the food processing sector, consider the following statements: 1. The Pradhan Mantri-Formalisation of Micro Food Processing Enterprises (PM-FME) Scheme is a Central Sector Scheme. 2. The Production Linked Incentive Scheme for the Food Processing Industry (PLISFPI) is a Centrally Sponsored Scheme. 3. The National Mission on Food Processing is a Central Sector Scheme. How many of the above statements are correct?

Q5.Consider the following two statements: Statement-I: The Production Linked Incentive Scheme for the Food Processing Industry (PLISFPI) includes a condition that requires the use of domestically grown agricultural products in the manufacturing process for eligibility. Statement-II: A primary objective of the PLISFPI is to increase employment opportunities in off-farm jobs and ensure remunerative prices for farm produce. Which one of the following is correct in respect of the above statements?

Q6.Consider the following statements regarding government schemes for the food processing sector: 1. 'Operation Greens' was initially launched for the integrated development of the value chains for Tomatoes, Onions, and Potatoes (TOPs). 2. The expanded list of 22 perishable products under 'Operation Greens' includes fruits, vegetables, and minor forest produce like honey and turmeric. 3. The Pradhan Mantri Formalisation of Micro food processing Enterprises (PM-FME) Scheme provides a credit-linked capital subsidy of 35% for setting up common infrastructure. How many of the above statements are correct?

Q7.With reference to the supply chain market, consider the following statements: 1. Supermarkets are based on the principle of a non-linear supply chain. 2. General markets typically involve extensive data analysis to identify consumer tastes and minimize storage costs. 3. The supermarket model helps in reducing the role of intermediaries such as wholesalers. How many of the above statements are correct?

Q8.Consider the following two statements: Statement-I: While e-commerce offers significant convenience to consumers, it can introduce substantial logistical challenges and operational strain for the businesses involved. Statement-II: E-commerce universally reduces business operational costs by eliminating the need for physical stores and associated expenses like rent and maintenance. Which one of the following is correct in respect of the above statements?

Q9.With reference to the Integrated Cold Chain Project, consider the following statements: 1. Facilities like blast freezing are typically established at the minimal processing centre at the farm gate level. 2. Mobile pre-cooling vans and reefer trucks are classified as components of the distribution hubs. 3. The project can be set up by a wide range of entities including Partnership firms, Companies, and Farmer Producer Organisations. How many of the above statements are correct?

Q10.Consider the following statements regarding organisations under the Ministry of MSME: 1. The Khadi and Village Industries Commission (KVIC) has its headquarters in Kochi. 2. The National Institute for Micro, Small and Medium Enterprises (NI-MSME) is located in Wardha, Maharashtra. 3. The Coir Board is an organisation under the administrative control of the Ministry of MSME. How many of the above statements are correct?

Q11.Consider the following statements: Statement-I: MSMEs play a crucial role in promoting a more equitable distribution of national income and wealth. Statement-II: MSMEs provide large employment opportunities at a comparatively higher capital cost than large industries and primarily contribute to the industrialisation of metropolitan areas. Which one of the following is correct in respect of the above statements?

Q12.With reference to the MSME Champions Scheme, consider the following statements: 1. The MSME-Innovative component is primarily designed to facilitate the adoption of Zero Defect Zero Effect (ZED) practices. 2. The MSME-Sustainable (ZED) Certification aims to help MSMEs reduce wastages, save energy, and enhance environmental consciousness. 3. The MSME-Competitive (LEAN) component is specifically formulated to handle matters related to Incubation, Design, and Intellectual Property Rights (IPR). How many of the above statements are correct?

Q13.Consider the following statements regarding the challenges faced by the MSME sector: 1. Delayed payments from clients lead to a reduction in the working capital requirements for MSMEs, thereby simplifying their cash flow management. 2. The MSME Sustainable (ZED) Certification Scheme was launched specifically to address the legacy issue of inadequate and untimely credit for MSMEs. 3. Information asymmetry and technological obsolescence are identified as significant legacy issues confronting the MSME sector. How many of the above statements are correct?

Q14.With reference to recent government schemes for artisans, consider the following statements: 1. The PM Vishwakarma scheme is a Centrally Sponsored Scheme with funding shared between the Centre and States. 2. The primary objective of the Scheme of Fund for Regeneration of Traditional Industries (SFURTI) is to integrate artisans into global value chains. 3. The Ministry of MSME is the implementing ministry for the PM Vishwakarma scheme. How many of the above statements are correct?

Q15.Consider the following two statements: Statement-I: The Scheme of Fund for Regeneration of Traditional Industries (SFURTI) focuses on organizing traditional industries and artisans into clusters. Statement-II: The SFURTI scheme supports the establishment of collective manufacturing enterprises to increase production and enhance the marketability of products. Which one of the following is correct in respect of the above statements?

Q16.Consider the following statements regarding recent schemes for MSMEs: 1. The RAMP (Raising and Accelerating MSME Performance) scheme is a Centrally Sponsored Scheme supported by the World Bank. 2. Under the RAMP scheme, the MSE-SPICE sub-scheme is specifically aimed at providing green investment and financing for the transformation of MSMEs. 3. The Credit Guarantee Scheme provides for collateral-free loans up to ₹500 lakh to Micro and Small Enterprises. How many of the above statements are correct?

Q17.Consider the following two statements: Statement-I: The 'TURQUALITY' programme is a state-sponsored initiative from Turkey aimed at transforming its MSMEs into global players. Statement-II: The 'Growth Driver Programme' is an initiative of the Business Development Bank of Canada to provide a multi-disciplinary support system for enterprise growth in MSMEs. Which one of the following is correct in respect of the above statements?

Q18.Consider the following statements regarding the food processing sector in India: 1. The Ministry of Food Processing Industries (MoFPI) is the nodal ministry for the regulation and administration of the entire food processing sector. 2. The Agricultural and Processed Food Products Export Development Authority (APEDA) is an attached body that functions under the administrative control of the MoFPI. 3. Industries relating to beer, aerated water, and soft drinks fall under the ambit of the MoFPI. How many of the above statements are correct?

Q19.Consider the following statements: Statement-I: The process of baking a cake by combining various ingredients is an example of secondary food processing. Statement-II: Secondary processing involves the conversion of raw agricultural produce into an edible product through methods like cleaning, grading, and sorting, which does not fundamentally alter its basic properties. Which one of the following is correct in respect of the above statements?

Q20.Consider the following statements regarding the economic benefits of the Food Processing Industries (FPIs) in India: 1. The growth of FPIs helps in increasing food inflation by reducing the wastage of perishable products. 2. The establishment of small-scale FPIs at the rural level is a factor that can contribute to an increase in rural-urban migration. 3. FPIs provide incentives for farmers to specialize in monoculture, which leads to larger profits. How many of the above statements are correct?

Q21.With reference to the challenges faced by the Food Processing Industries in India, consider the following statements: 1. Fragmentation of land holdings is considered a controllable challenge. 2. Poor supply chain linkages, including inadequate storage and distribution facilities, are classified as an uncontrollable challenge. 3. Low access to credit and subsidized financing for entrepreneurs is a controllable challenge faced by the sector. How many of the above statements are correct?

Q22.Consider the following statements regarding the Mega Food Park Scheme (MFPS): 1. The scheme's 'Hub and Spoke Model' involves Collection Centres handing over raw materials directly to the Central Processing Centre for final processing and value addition. 2. A Special Purpose Vehicle (SPV) is created for the park, which is eligible for a one-time capital grant of 50% of the total project cost, including the cost of land. 3. The scheme was discontinued for new projects with effect from 1 April 2021. How many of the above statements are correct?

Q23.Consider the following statements: Statement-I: The Mega Food Park Scheme (MFPS) is designed to reduce the individual operational costs for food processing industries operating within the park. Statement-II: The MFPS model co-locates multiple food processing units, enabling them to share common infrastructure such as water treatment plants, sorting facilities, and cold storage. Which one of the following is correct in respect of the above statements?

Q24.Consider the following statements regarding India's export promotion initiatives: 1. Agri-Export Zones (AEZs) operate on a 'Hub and Spoke Model' to integrate the entire process from production to market. 2. The Agricultural and Processed Food Products Export Development Authority (APEDA) is the nodal agency for implementing the Modernisation of Abattoirs scheme. 3. Financial assistance for Agri-Export Zones is provided exclusively by the Central Government for aspects like R&D and quality upgradation. How many of the above statements are correct?

Q25.With reference to food safety and processing bodies in India, consider the following statements: 1. The Food Safety and Standards Authority of India (FSSAI) functions under the administrative control of the Ministry of Food Processing Industries. 2. The Indian Institute of Food Processing Technology (IIFPT) is located in Thanjavur, Tamil Nadu. 3. The National Meat and Poultry Processing Board (NMPPB) is headquartered in Pune, Maharashtra. How many of the above statements are correct?

Q26.Consider the following two statements: Statement-I: The Food Safety and Standards Authority of India (FSSAI) was established under a legislative act passed in 2006. Statement-II: FSSAI is an autonomous body under the Ministry of Health & Family Welfare with the primary mandate to regulate and monitor food quality in India. Which one of the following is correct in respect of the above statements?

Q27.Consider the following statements regarding the classification and registration of Micro, Small, and Medium Enterprises (MSMEs) in India: 1. The revised definition for a 'Micro' enterprise includes an investment up to ₹1 crore and a turnover limit not exceeding ₹10 crore. 2. For classification purposes, the turnover calculation for an MSME explicitly excludes its turnover from exports. 3. The Udyam Registration portal is the sole method for MSME registration, replacing all prior systems like Udyog Aadhaar.

Q28.Consider the following statements regarding the 'Raising and Accelerating MSME Performance' (RAMP) programme: Statement-I: The World Bank-assisted RAMP programme aims to improve market access and credit availability for MSMEs across all states. Statement-II: The programme is designed to decrease the financial dependence of state-level MSME initiatives on the central government by promoting self-financing models.

Q29.With reference to the policy framework and support systems for Micro, Small and Medium Enterprises (MSMEs) in India, consider the following statements: 1. The Trade Receivables Discounting System (TReDS) is exclusively accessible to MSMEs registered as 'companies' or 'LLPs'. 2. The National Board for Micro, Small and Medium Enterprises is statutorily chaired by the Union Minister for MSMEs. 3. Under the Public Procurement Policy, it is mandatory for Central Ministries to procure at least 25% of their total annual purchases from Micro and Small Enterprises.

Q30.Consider the following statements regarding public finance and fiscal policy in India: 1. The Government of India has a stated policy objective to reduce the fiscal deficit to below 4.5 percent of GDP by the fiscal year 2025-26. 2. Sovereign Green Bonds, issued by the government, are classified as part of non-tax revenue receipts. 3. The proceeds from the issuance of Sovereign Green Bonds are designated for financing or refinancing projects that have positive environmental impacts. How many of the above statements are correct?

Q31.With reference to the Union Budget 2025-26's focus on agriculture, consider the following statements: Statement-I: The budget outlines a multi-pronged strategy aimed at enhancing agricultural productivity and strengthening the rural economy. Statement-II: This strategy is primarily driven by increasing direct cash transfers under the Kisan Credit Card scheme and launching a mission for self-sufficiency across all major food grains. Which one of the following is correct in respect of the above statements?

Q32.With reference to the PM Vishwakarma Scheme, consider the following statements: 1. It aims to provide end-to-end holistic support, including credit support and skill development, to traditional artisans and craftspeople. 2. The Ministry of Micro, Small and Medium Enterprises (MSME) is the nodal ministry for its implementation. 3. It is a Central Sector Scheme, fully funded by the Government of India. Which of the statements given above are correct?

Q33.Consider the following statements regarding pearl farming in India: 1. Natural pearl farming involves the surgical implantation of a nucleus into a mollusc. 2. India's pearl cultivation is exclusively focused on marine oysters found in coastal areas. 3. The Central Marine Fisheries Research Institute (CMFRI) has pioneered techniques for freshwater pearl culture. How many of the above statements are correct?

Q34.With reference to the promotion of pearl farming in India, consider the following activities: 1. Providing subsidies under the Pradhan Mantri Matsya Sampada Yojana (PMMSY). 2. Regulating export quality standards through the Marine Products Export Development Authority (MPEDA). 3. Issuing exclusive licenses for deep-sea natural pearl harvesting. Which of the activities above are correctly associated with the government's role?

Q35.With reference to the promotion of pearl farming in India, consider the following statements: Statement-I: The Government of India actively promotes freshwater pearl farming as a component of the Blue Economy initiative. Statement-II: Freshwater pearl farming offers a high-value, low-volume livelihood diversification for inland farmers, requiring less water than traditional large-scale aquaculture.

Q36.With reference to the Micro, Small and Medium Enterprises (MSME) sector in India, consider the following statements: 1. The proportional contribution of the MSME sector to India's total exports is significantly greater than its proportional contribution to the country's Gross Domestic Product (GDP). 2. Government budgetary allocation for the MSME sector witnessed a more than threefold increase between the financial years 2019-20 and 2023-24. 3. A key policy recommendation from NITI Aayog involves the convergence of numerous existing schemes to enhance efficiency and reduce fragmentation in the support ecosystem. How many of the above statements are correct?

Q37.With reference to policy discussions on converging government schemes for the MSME sector, consider the following statements: 1. NITI Aayog has the authority to mandate the merger of MSME schemes. 2. NITI Aayog is responsible for implementing a unified portal for MSME schemes. 3. Scheme convergence aims to create an integrated data repository for better efficiency. Which of the statements given above is/are correct?

Q38.With reference to the proposed convergence of schemes for Micro, Small and Medium Enterprises (MSMEs), consider the following statements: Statement-I: A key proposal involves re-categorizing MSME schemes into functional clusters like 'Capital Access' and 'Market Linkage' to reduce overlaps. Statement-II: Under this framework, the Public Procurement Policy for MSEs would be classified primarily under the 'Capital Access' cluster.

Q39.Consider the following statements regarding the Annual Survey of Industries (ASI): 1. The ASI is the principal data source for India's unorganized manufacturing sector. 2. The survey's sampling frame is derived from lists of factories registered under the Factories Act, 1948. 3. It covers industrial units employing 10 or more workers with the aid of power, or 20 or more workers without the aid of power.

Q40.With reference to India's manufacturing sector and its FDI framework, consider the following statements: Statement-I: India's manufacturing export competitiveness is significantly dependent on its openness to importing intermediate and capital goods. Statement-II: The prevailing policy recommendation is to reinforce blanket restrictions like Press Note 3 to shield the domestic industry from global competition.

Q41.Consider the following statements regarding food safety and management in India: 1. The Food Safety and Standards Authority of India (FSSAI) is a statutory body established under the Ministry of Health & Family Welfare. 2. 'Food waste' primarily refers to the decrease in the quantity or quality of food resulting from decisions and actions by food suppliers in the chain, excluding retail, food service providers and consumers. 3. Government initiatives aim to link food processing with the 'Make in India' program to reduce post-harvest losses and boost value addition. Select the correct answer using the code given below: