what are the merits and demerits of PDS??
Answers
Merits:-
1- It has helped in stabilising food prices and making food available to consumers at affordable prices.
2- It has helped in avoiding hunger and famine by supplying food from surplus regions of the country to deficient regions.
3- The system of Minimum Support Price (MSP) and procurement has contributed to increase in foodgrain production.
Demerits
1-Instances of hunger occur despite granaries being full. This points to certain lacunae or inefficiency in the system.
2- High levels of buffer stocks often leads to wastage of foodgrains and deterioration in quality.
3- The storage of foodgrains inculcates high carrying costs on the government.
4- The provision of MSP has encouraged farmers to divert land from production of coarse grains that are consumed by poor, to rice and wheat
Merits:-
1- It has helped in stabilising food prices and making food available to consumers at affordable prices.
2- It has helped in avoiding hunger and famine by supplying food from surplus regions of the country to deficient regions.
3- The system of Minimum Support Price (MSP) and procurement has contributed to increase in foodgrain production.
Demerits
1-Instances of hunger occur despite granaries being full. This points to certain lacunae or inefficiency in the system.
2- High levels of buffer stocks often leads to wastage of foodgrains and deterioration in quality.
3- The storage of foodgrains inculcates high carrying costs on the government.
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