Uncertain policy on farm trade , fluctuating between ban and incentives, should give way to functional commodity futures and options, rational stockholding of certain vital commodities and switchover from subsidy to investment in the farm sector.
The futures market indicates expert opinion, backed by financial outlays, on likely demand and supply, provides price certainty to farmers and links prices in India to global ones. Banning futures removes these benefits off the table in one stroke.
why doesn't government trust the market mechanism?
Uncertain policy on farm trade , fluctuating between ban and incentives, should give way to functional commodity futures and options, rational stockholding of certain vital commodities and switchover from subsidy to investment in the farm sector.
Please Explain the above lines
why just ban on food commodity futures to control inflation? whats the logic?
is this to give effect to repeal of farm laws ?
how ban of exports of farm produce will help control inflation?
The futures market indicates expert opinion, backed by financial outlays, on likely demand and supply, provides price certainty to farmers and links prices in India to global ones. Banning futures removes these benefits off the table in one stroke.
Explain the above lines