Centre mulls freedom to states to buy farm commodities in case prices fall

Will bear a loss of up to 30% of MSP in such an eventuality

To compensate farmers for any sudden and unexpected drop in open market prices of commodities, the Central government is contemplating a variety of options, including freedom to states to purchase farm produce other than grains as and when required and also a national price deficit scheme on the lines of one floated by Madhya Pradesh recently.

On the latter (price deficit scheme) though, opinion is divided within the government, with a section feeling that such an initiative is fraught with challenges and could lead to operational difficulties on ground if expanded at the national level.

Sources said senior officials from