Question

Why are buffer stocks of foodgrains maintained by the government?

Answer 1

Buffer stocks of foodgrains are maintained by the government to ensure food security. They help distribute foodgrains to deficit areas and poor people at prices lower than the market rate. Buffer stocks also address shortages during adverse weather or calamities. Additionally, they stabilize prices and guarantee farmers a minimum support price, encouraging production. Thus, buffer stocks protect both consumers and producers and help maintain stable food supply in the country.