What are the implications of the government setting a conservative target for wheat procurement in the upcoming season

Government has decided on a conservative target for wheat procurement for the upcoming season.
  • Reduced wheat procurement may lead to limited stocks, potentially causing a shortage in the market.
  • Farmers could be negatively affected as they may face difficulty selling their produce at the procurement centers.
  • Prices of wheat in the market may increase due to limited supply, impacting consumers and food inflation.
  • The government may have to import wheat to meet the shortfall, resulting in additional costs.
  • Decreased procurement targets may affect government food security programs and welfare distribution to the needy.
  • It could impact the overall agricultural economy and rural livelihoods dependent on wheat cultivation.
Answered a year ago
Naish Preparing for Civil Services