Question -
Answer -
Steps taken by Indian government for developing rural markets:
1. The concept of regulated markets was introduced where a market committee regulated the sale and purchase of products. This committee consisted of farmers, traders and government agents. Using proper scales and weights the marketing system introduced greater transparency and ensured that farmers received good price for their products.
2. The government introduced cold storages and warehouses which farmers to sell product in market when attractive price can be obtained. Railways also offered transport facilities for selling of product to city market and earn good profit.
3. The government started co-operative marketing for making farmers get access to fair price policies. Farmers get better bargains for the sale in the market.
4. MSP or Minimum Support Policy determines a price that a farmer may charge in exchange for his products in the open market. The policy of MSP protects a farmer in case there is a fall in price. It is especially beneficial as farming in India is prone to uncertainties.