International Research Journal of Education and Technology

Agricultural price policy in India was introduced since independence. But the agricultural price policy formulated in India has diverse widely for different years and also for different crops. This policy set much accentuation on the prices of food grains like wheat, rice, and coarse cereals such as jowar, bajra, maize, etc.  Price policy plays a pioneering role in the economic development of a country. It is an important instrument for providing incentives to farmers to fascinating them to go in for production-oriented investment and technology. Undoubtedly, violent fluctuations in agricultural prices have destructive results. For instance, a steep decline in the price of a particular crop in a few years can inflict heavy losses on the growers of that crop. This will not only reduce the income but also dampen the spirit to cultivate the same crop in the coming year. If this happens to be a staple food item of the people, supply will remain below the demand.

KEY WORDS:  India, Agricultural Price Policy, Food Grains, Farmers, Incentive Price.