A
To regulate international trade tariffs on luxury goods
B
To offset price fluctuations and supply disruptions
C
To provide direct income support to marginal farmers before sowing season
D
To fund infrastructural development of rural mandis
Correct answer: (b) To offset price fluctuations and supply disruptions
Explanation
Option B is correct because a buffer stock is maintained as a reserve of a commodity to offset price fluctuations and supply disruptions in the open market. The other options describe unrelated trade, financial, or infrastructural measures.
Same topic · past papers
UPSC has asked this before
These previous-year questions sit on the same topic. Open one to practise the earlier ask.