Letter to BS: There are no market mechanisms in India to reward a farmer

I agree with Udit Misra’s “Why farm loan waivers make sense” (December 21). The market can provide better solutions on its own than what the government can do. I may narrate a historical instance related to such a problem, which proved that government cannot match the efficiency prevailing in the private sector.

It was around one year before the declaration of Emergency. Paper being an essential item for education, paper mills had to sell at a price fixed by the government. Paper mills found that prices were unviable, therefore they started taking some cash amount for booking orders and then executed