Exponential
increase in Economic cost and issue price.
The sided diagramme shows exponential rise in the economic cost of
production over the issue price from the years 2001-2020. Here though
the economic cost of farmers is compensated by MSP provision but the
constant issue price (price at which PDS items are being provided)
constant and more than 150% below the same. This increases the fiscal
burden that ultimately leads to lack of availability of funds, low
outlay to agriculture and the vicious circle continues. Thus it can be
suggested that to take adequate measures to be taken under concern to
reduce this fiscal gap.