Question

How does MSP help farmers and ensuring food security im india. explain

Answer 1

Hey. MSP is a tool to achieve food security and tackle shortages of key food items. Rural prosperity, sales of discretionary goods and consumer goods have risen steadily over the last few years. Hence, higher MSP and rising farm income can augur well for companies that make consumer durable goods, automobiles or FMCG.

Besides, higher farm profits will encourage farmers to spend more on inputs, technology etc, which can have a positive rub off on companies in the agri inputs and farm equipments space.

But on the flip side, sharp and frequent increases in MSP can feed inflation too. For instance, it is believed that it was sustained MSP increases on paddy and wheat that fuelled high food inflation in the years to 2013.

Answer 2

Hey mate....

here's ur answer.....

$<marquee>MSP definitely help farmers in ensuring food and security in India . The Minimum Support Price (MSP) is a floor price decided by the Central and State MSP can be implemented in two ways. One, physical procurement of commodity and two, cash payment to farmers to compensate for the difference between MSP and price received by them. </marquee>$


Hope it helps ⭐