Question

explain the term Buffer Stock.

Answer 1

Buffer stock is a practice done by govemrmnt as it is saving a commodity and use it in the time of crisis. Buffer stocks help the poors. These buffer stocks help in uniform distribution of food material in different part of country.
Ex: goverment takes the grains from a particular area where the production of grain is more and keep them on storage then they provide these grains by the ration shops in areas where they are needed.