Question
Write any two benefits of buffer stock.

Answer

 Four advatages of the buffer stock scheme are:
  1. It creates a reserve stock of foodgrains that can be used in emergengies like drought or flood.
  2. Since the government buys foodgrains from farmers to create the buffer stock, it ensures that farmers are able to obtain a fair price for their crops.
  3. This scheme stabilizes food prices in the economy.
  4. Foodgrains from the buffer stock can be distributed to the poor through the public distribution system (PDS).

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