Economy, asked by omjitripathisra4017, 1 year ago

What are the merits and demerits of pds system in india? According to economics?

Answers

Answered by aditi1235
2
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. 

dhiraj6432: Please mark as brainlist
Answered by dhiraj6432
1
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.
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