Which two states of India saw the emergence of student protest movement in 1974?

Gujarat and Bihar

The correct answer is Option (2) → Gujarat and Bihar

Students’ protests in Gujarat and Bihar, both of which were Congress ruled States, had far reaching impact on the politics of the two States and national politics.

In January 1974 students in Gujarat started an agitation against rising prices of food grains, cooking oil and other essential commodities, and against corruption in high places. The students’ protest was joined by major opposition parties and became widespread leading to the imposition of President’s rule in the state. The opposition parties demanded fresh elections to the state legislature. Morarji Desai, a prominent leader of Congress (O), who was the main rival of Indira Gandhi when he was in the Congress, announced that he would go on an indefinite fast if fresh elections were not held in the State. Under intense pressure from students, supported by the opposition political parties, assembly elections were held in Gujarat in June 1975. The Congress was defeated in this election. 

In March 1974 students came together in Bihar to protest against rising prices, food scarcity, unemployment and corruption. After a point they invited Jayaprakash Narayan (JP), who had given up active politics and was involved in social work, to lead the student movement. He accepted it on the condition that the movement will remain non-violent and will not limit itself to Bihar. Thus the students’ movement assumed a political character and had national appeal. People from all walks of life now entered the movement. Jayaprakash Narayan demanded the dismissal of the Congress government in Bihar and gave a call for total revolution in the social, economic and political spheres in order to establish what he considered to be true democracy.".