Chafe At The Bit

• Bad weather led several state agencies to give varying projections about a shortage in wheat production this year.
• Private traders and companies offered a higher price than the state-stipulated MSP of Rs 850 per quintal to farmers.
• Government’s procurement started slipping with fears of a shortfall in the expected wheat buffer stock.
• Large farmers, whose land holdings have become bigger, began hoarding in anticipation of future price rise.
• Farmers now have additional income sources; hence their dependence on immediate wheat sales has reduced.

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