Government-held stocks of wheat and rice.
Explanation
Buffer Stock is a strategic reserve of essential commodities maintained by the State to manage price fluctuations and ensure food security. In the Indian context, this mechanism is primarily executed through the Food Corporation of India (FCI) to bridge the gap between demand and supply.
Option Analysis:
- Stocks held by private traders. is Incorrect: Stocks held by private traders constitute commercial inventory intended for profit or speculation. They are not part of the official Buffer Stock mechanism and are often regulated to prevent hoarding.
- Government-held stocks of wheat and rice. is Correct: Buffer Stock specifically refers to the stock of foodgrains, namely wheat and rice, procured by the government. These reserves are utilized to meet the requirements of the Public Distribution System (PDS) and to stabilize prices during periods of deficit production or natural calamities.
- Grain retained by cultivators. is Incorrect: Grain retained by cultivators is typically for self-consumption, seed requirements, or future sale. This is considered personal stock or subsistence retention, not a public Buffer Stock.
- International emergency reserves. is Incorrect: International emergency reserves refer to global humanitarian stockpiles (e.g., under the World Food Programme) and are distinct from domestic Buffer Stocks maintained by a sovereign government for its citizens.
Key Takeaway:
Buffer Stock is the government-maintained reserve of foodgrains (wheat and rice) used to ensure food security and regulate market prices.