excess production of cash crops actually led to a situation where the farmers had money with them and yet they could not buy food grains .why did such a situation arise

All the farmers were forced to grow indigo crops by the British.So, there was no one to grow food crops. The cultivation of food crops almost grew nil. Also, the crop(indigo) left the land barren and unusuable for growing other crops.Since there was no production of food crops, farmers could not buy food grains even after getting some money. hope this helps u and like it plzz..

When the East India Company made India its colony, farmers especially in Bengal, Bihar and Orissa were forced to grow cash crops on their fertile lands instead of food crops. The British did this to generate profit. The peasants were forced to grow indigo. cotton, jute etc which resulted in decrease of fertility of their land. They were not allowed to grow food crops anyone found doing so was killed or the land was acquired by the Government (British). This led to the massive famine of Bengal and Orissa of 19th century and caused death of thousands of people. 
Although they were provided with a very minimal amount but as there were no food crops grown at that time hence they could not buy the food grains.
 

The farmers could not buy food grains because most of the farmers were forced to grow only indigo do the food crops were less and was not available properly in in the market...... I hope this will help you TanishkA varshney Doon public school hathras

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1. Excess  production of cash crops actually led to a situation where the farmers had money with them and yet they could not buy food grains .Why  did such situation a  arise ?

 

The farmers(planters) signed a contract with the britishers(cultivators) that they would sow only the cash crops(indigo). They were forced to cultivate only the indigo crops and were not allowed to cultivate the food crops.Even if they were allowed , they couldn't cultivate food crops as the indigo crops had exhausted the fertility of the soil.Due to this there was a shortage of food crops .Thus, the excess production of cash crops actually led to a situation where the farmers had money with them and yet they could Not Buy food grains. I Hope this answer helped...