TS 6th Class Social Study Material Lesson 8B Trade in Agricultural Produce Part 2

Telangana SCERT TS 6th Class Social Study Material Pdf Lesson 8B Trade in Agricultural Produce Part 2 Textbook Questions and Answers.

TS 6th Class Social Lesson 8B Questions and Answers -Trade in Agricultural Produce Part 2

(Improve Your Learning)

Question 1.
Make a list of the different paddy traders operating in Venkatapurani and the prices they offer for paddy per quintal. (Information skills)
Answer:

Traders Paddy per quintal Price
1) AMY 1 ₹ 1080/-
2) Rice Miller 1 ₹ 1150/-
3) Chandulal, a rice miller 1 ₹ 950/.
4) Broker 1 ₹1000/-

 

Question 2.
Who purchases paddy in your place? Collect details about how prices are fixed and what prices are paid by different traders and landlords. (information Skills)
Answer:

  1. Subbaiah, a fanner in my village had got a good harvest of 80 quintals of Paddy. He got the highest price at AMY on his paddy 1150/- per quintal, offered by a big rice mill’s owner.
  2. Another farmer Lakshnii who is a small farmer had got only 15 quintals of paddy. Due to her debts, she sold her paddy to a landlord for 950/- in her own village.

Question 3.
Compare the global one quintal of rice and one quintal of paddy. Find out the reasons for the difference (1 quintile = 100 kilograms). (Conceptual understanding)
Answer:

  1. Recently I went a grocery Shop and Knew the price of a Kg.rice, was Rs.30/- But the price of kg. paddy is approximately ₹ 10/-
  2. By this we can understand that the price of a kg. rice is three times higher than the price of a kg. paddy

Question 4.
Do you think it is necessary for the government to lis a single price for paddy?
Answer:
Yes, I think The government should declare the MSP(Minimum Support Price) every year for paddy br pending the natural calamities and the expenditure incurred by framers.

TS 6th Class Social Study Material Lesson 8B Trade in Agricultural Produce Part 2

Question 5.
In what ways do you think the farmers benefit from Self Help Groups?
Answer:
the tanners will get lions for their agricultural Purposes for less rate of interest through Self Help Groups The members of the Self Help Groups will be benefitted by so many ways with mutual cooperation.

Question 6.
Read the para under the title ‘Indebtedness and selling paddy’ of pages 78 and 79 and comment on it. (Reading the text (given), understanding and interpretation)
Indebtedness and selling paddy:
We saw that small and medium farmer have to borrow money for agriculture, especially to purchase seeds, fertilizers, pesticides, and irrigation facilities. Since it is difficult for them to get loans from banks, they are forced to borrow from moneylenders, traders, millers, etc.

Once a farmer borrows from them, he or she has no option but to sell the product only to them at the prices they offer. Paddy traders not only pay lower prices but also cheat in weighing. Moreover, they take commissions of various kinds. Many of these farmers get delayed payments. Since these traders and landlords lend money in desperate times, farmers have to sell their paddy to them.
Answer:
1) The above-mentioned paragraph describes the pity condition of farmers in India.
2) India has major share of small and medium farmers who cannot afford to huy inputs for agriculture and borrow money from moneylenders to purchase pesticides, seeds, fertilizers etc.
3) They do not have the capacity to repay the money so they have no option other than selling their produce (paddy) to money lenders at vers’ cheaper prices.
4) This incurs huge losses to farmers where the3’ are not able to enjoy the fruits of their hard work and committing suicides.
5) The heartless money lenders not only pay the farmers cheaper prices, hut also cheat in weighing and also take various kinds of Commissions and benefit from all means.

Question 7.
Imagine a situation where there ¡s no AMY nearby your village. What challenges will the farmers face in this situation? (Reflection on contemporary issues and questioning)
Answer:
If there is no Agricultural Market Yard the farmers face the following situations.

  1. Farmers can sell their produce but did not pay immediately.
  2. They did not get minimum support price for their Production.
  3. The sale is not done by an open auction.

(Project)

Question 1.
A few students can be taken to nearby AMY After observing what happens there, a role play can be enacted to illustrate how traders bid prices for paddy and other produce.
Answer:
Role Play:
Trader A: Whose paddy heap Is this? It is written on the bag CR.
Chandrasekhar: It belongs to me.
Trader B: There is no thaalu and the paddy is very dry.
Trader A: But, the paddy colour is a little bit grey showing more moisture content.
Auction committee: The MSP of the paddy of Chandra Sekhar is Rs. 1080 per quintal. Any of you may propose your price.
Trader A: My price is Rs. 1150/-
Trader B: My price is Rs. 1200/.
Auction Committee: 1200/. per quintal.
1200/- per quintal.
1200/. per quintal.
As nobody came forward, on Chandra Sekhars willingness for Rs. 1200/- per quintal, the paddy is sold to Trader B.

Question 2.
Write the script for a small play to explain the plight of small farmers of Telangana.
Answer:
Venkaiah and Yadagiri are two farmers in a small village of our state. They are discussing their difficulties.
Venkaiah: See Yadgiri, how is your paddy? Is crop yielding as per your expectation?
Yadgiri: No I have no such type of hopes. Due to uneven rains, the crop was badly effected and insects and pests damaged my crop.
Venkaiah: I too faced the same problem for my crop also,
Yadgiri: I have borrowed money from money lender on high ratent interest. I am worrying about the repayment of the loan.
Venkaiah: By haik or cook we have to save our crop by spraying fertiltrires and pesticides one more time.
Yadgirl: How is it possible fur us to purchase again fettitirery.
Venkaiah: What can we do? In this circumstance, we have in get the fertilizers from our village society on credit.
Yadgiri: Even sear small farmers are facing so many problems in cultivating the crop. God n also ont with us. One year drought another year heavy rains and floods, heavy debts are forcing us to suicidal deaths.

Dharmaiah, an educated farmer noticed their conversation and said to them not to worry. There is remedy for all ailments. Government wilt provide all facilities to save the vinaIt farmers those who are severely effected by natural calamities It has established Agriculture Market Yard (AMY) throughout the state to give Minimum Support ‘rice (MSP) for crops in such crucial conditions.

TS 6th Class Social Study Material Lesson 8B Trade in Agricultural Produce Part 2

(In-text Questions)

Textbook P. No. 74

Question 1.
Do you think, the practice in Agricultural Market Yard ta appropriate? How do tanners benefit from this process?
Answer:

  1. the government every year announces the MSP (Minimum Support Price) for various crops like rice, wheat taking into consideration the cost of inputs.
  2. If no trader Is willing to buy at a higher price then the government agencies like Food Corporation nf India (FCI)AMI (Agriculture Market Yard) buy the produce from the farmer at the MSP.
  3. Though the quality of the paddy is not good. the government will purchase from the farmer. So it is totally beneficial to all types of farmers.

Text Book Page No. 75

Question 2.
Can you work out how much he would have given to Chandra Sekhar? (Paddy 60 quintal: Price =₹ 1150/- per quintal. Loading and cleaning charges ₹ 2415)
Answer:
Total quantity of Paddy = 60 quintals.
Rate per quintal = ₹1150
Total = 1150 x 60 = ₹ 69,000
loading and cleaning charges = ₹ 3.50 x \(\frac{69000}{100}\) = ₹ 2,415
Total amount paid to Chandrasekhar = ₹ 69000 -₹ 2415 = ₹ 66,585/-

Question 3.
What do you think are the advantages and disadvantages of selling in AMYs?
Answer:
Advantages:

  1. Every farmer will get minimum price for his crop.
  2. Farmers have right to sell their crop in AMY irrespective of the quality.

Disadvantages:

  1. For small farmers, it is burden to bear the transport and the other charges levied by the AMYs.
  2. Sometimes corrupted officials join with traders to fix lower prices.

Text Book Page No. 76

Question 4.
Can you guess why Mallaiah was selling the Paddy at a lower price to Chandulal? Discuss the possible reasons in the class before reading further.
Answer:

  1. Malliah borrowed money from Chandulal for purchasing fertilizers and pesticides.
  2. He was in need of money to repay his debts.
  3. So, he was forced to sell his produce to Chandulal at a lower price fixed by him.

Text Book Page No. 77

Question 5.
How much would Mallaiah have got if he had been able to sell his paddy In the Agriculture Market Yard?
Answer:
If Mallaiah joined as a member of Self Help Group, he would not be in the clutches of money lenders like Chandulal. Then he will be free in selling his paddy in AMY or anywhere to get minimum benefit.

Question 6.
How much money did he loose by selling his produce to the miller?
Answer:
If Mallaiah sells his paddy in AMY. he gets a price of ₹ 1150 (as price got to Chandra Sekhar paddy) per quintal, but he sold it to Chandulal, the owner of a rice mill for ₹ 950/- per quintal. Because of this, he lost ₹ 200/- per each quintal.

Question 7.
What difference would it have made If he had been able to borrow the money from a bank instead of the miller?
Answer:

  1. The millers lend money on high rate of interest whereas banks give agricultural loans with minimum rate of interest, Malliah could have minimised his expenditure.
  2. For example, Mallaiah took money from Chandulal who levied ₹ 2/- for ₹ 100/- per month. But Banks will provide loam with less rate of interest
  3. Some times due to natural calamities Banks will deduct the rate of interest on total amount also. So getting loans from banks is beneficiary rather than borrowing money from money lenders.

Question 8.
How much more would Mallaiah have earned if he had borrowed from a government
bank?
Answer:
Mallaiah borrowed ₹ 5,000/- with a rate of interest ₹ 2/- for 100/- per month. For four months he paid ₹ 400 as interest. If he took loan from the bank, he would get the amount at lower rate of interest. He would have minimized his expenditure and earned a good amount for his crop.

Question 9.
Compare and contrast the differences between landlord and rice mill owner in procuring way they procure paddy from Venkatapuram farmers.
Answer:

  1. Big farmers or landlords of Venkatapuram do lend money to small farmers and purchase paddy from them.
  2. They sell their own harvest and all that is procured from other farmers in AMYs, town-based wholesale paddy merchants or in rice milk.
  3. Rice millers and landlords lend money to the farmers and fix the price for their goods.

Text Book Page No. 78

Question 10.
Mallaiah was able to get only about ₹ 935 per quintal while Shanti was able to get
about ₹ 975 per quintal. Why is It so?
Answer:

  1. There is difference in the selling of paddy by Mallaiah and Shanri.
  2. Shanti was a member of local Self-Help Group She insisted on weighing it properly by the broker in the presence cl other SHG members. So she got ₹ 975 per quintal.
  3. Mallaiah borrowed money from Chandulal for purchasing fertilizers and pesticides. Hence he was forced to sell his produce to him at the rate fixed by him. So he got only ₹ 935 per quintal.

Text Book Page No. 79

Question 11.
Think of the different ways that could ensure best prices to farmers for their produce. Discuss the advantages and disadvantages of them in the class.
Answer:

  1. The government must announce the Minimum Support Price taking into consideration the cost of inputs.
  2. The government should provide financial support to farmers through cooperative societies and irrigation facilities through canals.
  3. So that farmers will get just prices for their produce.

(Additional Questions)

Question 1.
Read the following passage and answer the following questions.
Paddy cultivated in Telangana ¡s mostly sold in market and farmers keep only a small
share for their own use. A considerable amount nl paddy produced by small farmers like Shanti is used for their own consumption. Large farmers sell most of their produce in the markets. Telangana farmers sell nearly three-fourth of their harvests within the village and one- fourths in AMY. Big farmers sell in AMYs.

These farmers own vehicles like tractors which reduce their transportation espenses. In villages, many kinds of traders procure paddy – from landlords, brokers and small rice mill owners. In most occasions, farmers like Mallaiah and Chandrasekhar with a few acres of land are bound to sell only to these traders as they borrow money from them.
1) Where do the farmers sell most of their paddy in Telangana?
Answer:
The farmers sell most of their paddy in the market,

TS 6th Class Social Study Material Lesson 8B Trade in Agricultural Produce Part 2

2) Expand AMY.
Answer:
Agriculture Market Yard.

3) Who sell their crop in AMYs?
Answer:
Big farmers sell their crop in AMYs,

4) From where do the traders procure paddy in villages?
Answer:
Traders procure paddy from landlords, brokers and small rice mill owners.

5) How do Telangana farmers sell their harvest?
Answer:
Telangana farmers sell nearly 3/4 of their harvests within the village and 1/4 in AM’YS.

Question 2.
Read the given data and answer the questions given below:
Farmers Price fixation Amount fixed
Agriculture Market Government ₹ 1080/-
Yard (AMY)
Chandra Sekhar Big rice mill agent ₹1150/-
Mallaiah Chandulal ₹950/-
Shanti Broker ‘ ₹ 1000/-
Ramaiah Wholesale trader ₹900/-

1) Expand AMY.
Answer:
Agriculture Market Yard.

2) Who got more price for Paddy than AMY?
Answer:
Chandra Sekhar.

3) What Is the Government price for Paddy?
Answer:
₹ 1080/-

4) Who fixed the price of paddy of Mallaiah?
Answer:
Chandulal

5) Broker fixed the price of …………………… paddy.
Answer:
Shantis.

Question 3.
Read the following passages and answer the questions:
I. Several traders and mill agents crowded near Chandra Sekhar’s paddy. They found that his paddy was dry and with very little thaalu.
1) How was Chandra Sekhars Paddy?
Answer:
Chandra Sekhars paddy was dry and with very little thaalu.

II. Chandra Sekhar got the highest price on that day. ₹ 1150 per quintal, offered by a big rice mills agent. Many other farmers gol only Rs. 1100 per quintal for their paddy.
1) Who got the highest price on paddy?
Answer:
Chandra Sekhar got the highest price 1150 per quintal on his paddy, offered by
a big rice mills agent.

III. There are nearly 100 AMYs in Telangana. Nearly one-fourth of farm products are traded in them.
1) How many AMYs are there in Telangana?
Answer:
100 AM’ts

2) How much farm products are traded in AMYs?
Answer:
One-fourth of farm products.

IV. Brokers mediate between farmers and town based millers or wholesale paddy merchants. They procure paddy in small quantities from farmers like Shanti.
1) Who mediate between farmers and wholesale paddy merchants?
Answer:
Brokers.

V. Brokers collect sufficient amount of paddy and inform the wholesale traders rice mill owners who then send money and vehicles for transportation. They charge commissions from both the farmers and the millers.
1) What is called the broker charge from the farmers and the millers?
A. Commission

(Two Marks Questions)

Question 1.
What is AMY?
Answer:
The Agriculture Market Yard is a tnark4t run by government In which farmers can sell their product and get paid immediately.

Question 2.
What is the Minimum Support Price?
Answer:
The Minimum Support Price is the price announced by the government for various crops taking into consideration the cost of inputs.

TS 6th Class Social Study Material Lesson 8B Trade in Agricultural Produce Part 2

Question 3.
What are “bids”?
Answer:
Bids are prices at which the buyer wishes to buy the product in an auction.

Question 4.
How much is the amount collected for cleaning and maintenance charges?
Answer:
The farmers have to pay Rs.3.50/- per every hundred rupees of trading.

Question 5.
How many AMYs are there in Telangana?
Answer:
There are nearly 100 AMYs in Telangana.

Question 6.
Who mediate between farmers and town-based big millers?
Answer:
Brokers mediates between farmers and town-based big millers.

(Objective Types Questions )

Question 1.
Which government agency will buy the produce from the fanner at the MSP? ( )
A) FCI
B) ILO
C) FAO
D) none
Answer:
A) FCI

Question 2.
Shanti, a farmer is a member of local ( )
A) AMY
B) Self-help Group (SHG)
C) FCI
D) ILO
Answer:
B) Self-help Group (SHG)

TS 6th Class Social Study Material Lesson 8B Trade in Agricultural Produce Part 2

Question 3.
……………………………. mediate between farmers and town-based big millers or wholesale paddy merchants. ( )
A) Brokers
B) Bankers
C) Moneylenders
D) None
Answer:
A) Brokers

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