Question

what is meant by buffer stock? why is the buffer stock created by the government? explain any three reasons​

Answer 1

A buffer stock of food grains is created by the Government for the following reasons: 1. So that food grains can be distributed to the food deficit areas and sold among the poorer strata at a price lower than the market price. ... A buffer stock is maintained in order to ensure food security

Answer 2

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Here's your answer⤵⤵⤵

Buffer stock is a reserve of a commodity that can be used to offset price fluctuations.