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Q.

The ____ purchases wheat and rice from the farmers in states.

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Detailed Solution

The Food Corporation of India purchases wheat and rice from farmers in states such as Punjab, Haryana, and Uttar Pradesh, where there is surplus production. FCI ensures that farmers are not forced to sell their produce below the support price. The FCI has the authority to regulate the minimum support price and announce the minimum support price. The minimum support price refers to the price at which the government purchases wheat and rice from the farmers. The government purchases the surplus from the farmers. They put all the surplus food grain in the storage room or the buffer stock.

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