Farmers have started growing export quality rice, and stopped growing rice for local consumption because they earn more by exporting their yield.Courses of Action:
- Export of rice should be stopped.
- Government should give adequate remuneration and incentives to farmers for growing the rice for local needs. This will create a level playing field and solve the problem.
Only I follows.
Only II follows.
Either I or II follows.
Both I and II follow.
The government can decide on one of these courses of action. Sometimes the exports are also stopped or made dearer. Sometimes the MSP is also raised, but not raised too much as that would lead to inflation. There are not cut and dried formulas for deciding what to do. But governments in India have resorted to one of these courses of action.