Why buffer stock is created by the government?
Answer:
Answer to be written in the exam:
-
A
buffer stock
of food grains is created by the government so that it can
distribute foodgrains in the deficit areas
and among the poorer strata of the society at a
price lower than the market price also known as Issue Price.
- This also helps resolve the problem of shortage of food during adverse weather conditions or during the periods of calamity.