Discussion
Statements: The Cabinet of State X took certain steps to tackle the milk glut in the state as the cooperatives and government dairies failed to use the available milk. - A news report.
Conclusions:
1. The milk production of State X is more than its need.
2. The Government and co-operative dairies in State X are not equipped in terms of resources and technology to handle such excess milk.
Answer: E
The use of the term 'milk glut' makes I implicit. Also, the fact that the cooperatives and Government dairies failed to use the available milk indicates that they lack the proper infrastructure to handle such quantities of milk. So, II also follows.
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