Question

what is buffer stock? why is it created by the government?

Answer 1

a revere of commodity that can be used to offset price fluctuations

Answer 2

Answer:

Hey there,

Buffer Stock is stocking of food grains after meeting the demands in normal situations to cope up with the sudden demands of them arising from any unforeseen circumstances. The government creates the buffer stock to meet the demands of the deficit areas. It is used to wipe the deficits due to natural calamity or in adverse weather conditions and to ensure food security for all.

Thanks for asking.