Question

Why in coastal cities like Mumbai food grains are not stored in larger quantities at home?

Answer 1

Answer:

Explanation:

For small farmers the main purpose in storing grains is to ensure household food supplies. Farm storage also provides a form of saving, to cover future cash need through sale, or for barter exchange or gift-giving. Grain is also stored for seed and as inputs into household enterprises such as beer brewing, or the preparation of cooked food. When there are significant inter-seasonal price variations, small farmers often store for speculative gain, that is to say they 'play the market'. This is most common in more prosperous areas, such as the Southern Highlands of Tanzania and southern Mali, which produce a mixture of cash and food crops, and where farmers' financial circumstance make it easier for them to sell when the price is best. Speculative considerations are even more important in the storage decisions of large-scale commercial farmers.