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Evolution and Critique of Buffer Stocking Policy of India

Author

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  • Shweta Saini
  • Marta Kozicka

Abstract

An evaluation of the country’s buffer stock policy reveals gaps and inefficiencies. Large quantities of food grains have accumulated in the godowns of the Food Corporation of India (FCI) and its nominated state agencies, raising questions about the economic efficiency of the entire operation. At the same time, there is high incidence of malnutrition and rising food grain prices across the country. The level of government intervention in grain markets is straining government finances because of the increasing burden of food subsidy. There are increasing concerns regarding the imbalances being created in the national production basket, of alienation of market forces and its players, of quality of grain, and the sustainability and relevance of such operations.

Suggested Citation

  • Shweta Saini & Marta Kozicka, 2014. "Evolution and Critique of Buffer Stocking Policy of India," Working Papers id:6153, eSocialSciences.
    • Handle: RePEc:ess:wpaper:id:6153
    Note: Institutional Papers
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    Citations

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    Cited by:

    1. Akash Malhotra, 2021. "A hybrid econometric–machine learning approach for relative importance analysis: prioritizing food policy," Eurasian Economic Review, Springer;Eurasia Business and Economics Society, vol. 11(3), pages 549-581, September.
    2. Rahul Anand & Naresh Kumar & Mr. Volodymyr Tulin, 2016. "Understanding India’s Food Inflation: The Role of Demand and Supply Factors," IMF Working Papers 2016/002, International Monetary Fund.
    3. Frédéric Landy, 2017. "Rescaling the public distribution system in India: Mapping the uneven transition from spatialization to territorialization," Environment and Planning C, , vol. 35(1), pages 113-129, February.
    4. Gupta, Prankur & Khera, Reetika & Narayanan, Sudha, 2021. "Minimum Support Prices in India: Distilling the Facts," Review of Agrarian Studies, Foundation for Agrarian Studies, vol. 11(1), June.
    5. Marta Kozicka & Dr Matthias Kalkuhl & Jan Brockhaus, 2015. "Food Grain Policies in India and Their Implications for Stocks and Fiscal Costs: A Partial Equilibrium Analysis," EcoMod2015 8377, EcoMod.
    6. Weber, Regine, 2015. "Welfare Impacts of Rising Food Prices: Evidence from India," 2015 Conference, August 9-14, 2015, Milan, Italy 211901, International Association of Agricultural Economists.
    7. Kozicka, Marta & Kalkuhl, Matthias & Saini, Shweta & Brockhaus, Jan, 2014. "Modeling Indian Wheat and Rice Sector Policies," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 169808, Agricultural and Applied Economics Association.
    8. Akash Malhotra, 2018. "A hybrid econometric-machine learning approach for relative importance analysis: Prioritizing food policy," Papers 1806.04517, arXiv.org, revised Aug 2020.
    9. Marta Kozicka & Matthias Kalkuhl & Jan Brockhaus, 2017. "Food Grain Policies in India and their Implications for Stocks and Fiscal Costs: A Dynamic Partial Equilibrium Analysis," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(1), pages 98-122, February.
    10. Downing, Andrea S. & Kumar, Manish & Andersson, August & Causevic, Amar & Gustafsson, Örjan & Joshi, Niraj U. & Krishnamurthy, Chandra Kiran B. & Scholtens, Bert & Crona, Beatrice, 2022. "Unlocking the unsustainable rice-wheat system of Indian Punjab: Assessing alternatives to crop-residue burning from a systems perspective," Ecological Economics, Elsevier, vol. 195(C).
    11. Singha Mahapatra, Maheswar & Mahanty, Biswajit, 2020. "Policies for managing peak stock of food grains for effective distribution: A case of the Indian food program," Socio-Economic Planning Sciences, Elsevier, vol. 71(C).
    12. Kozicka, Marta & Kalkuhl, Matthias & Weber, Regine, 2015. "Public Distribution System vs. Market: Analysis of Staple Food Consumption in India Using QUAIDS with Rationing," 55th Annual Conference, Giessen, Germany, September 23-25, 2015 209243, German Association of Agricultural Economists (GEWISOLA).
    13. Elleby, Christian & Hansen, Henrik & Yu, Wusheng, 2015. "Domestic Price and Welfare Effects of the 2007-11 Indian Grain Export Restrictions," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205578, Agricultural and Applied Economics Association.
    14. Akash Malhotra & Mayank Maloo, 2017. "Understanding food inflation in India: A Machine Learning approach," Papers 1701.08789, arXiv.org.
    15. Brockhaus, Jan & Kalkuhl, Matthias & Kozicka, Marta, 2016. "What Drives India’s Rice Stocks? Empirical Evidence," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235659, Agricultural and Applied Economics Association.
    16. Shweta Saini & Ashok Gulati, 2017. "Price Distortions in Indian Agriculture," Working Papers id:12042, eSocialSciences.
    17. Marta Kozicka & Regine Weber & Matthias Kalkuhl, 2019. "Cash vs. in-kind transfers: the role of self-targeting in reforming the Indian food subsidy program," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 11(4), pages 915-927, August.

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