Social Sciences, asked by gnanapratheeka, 1 year ago

How does rising minimum support price affect food security? How does PDS ensure food security in India?

Answers

Answered by writersparadise
21

Minimum support price is fixed by the Government to encourage farmers and producers of food items, to continue production and to produce more.  

Normally, when market price falls, farmers and producers of food items tend to move on to other lucrative fields of business, to earn money. This affects the original produce and stock levels in the market goes down, gradually leading to scarcity.  

Minimum support price assures farmers and producers of a minimum base price, which is paid by the government, who stocks up such items in their warehouses, for distribution through PDS (Public Distribution System) at a later point of time.

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