Consider the following statements with reference to Price Stabilization Fund (PSF):
1. It aims to manage price volatility in the crops of onion, potatoes and pulses by undertaking direct procurement from farmers.
2. It is utilized for granting interest-free loans to state governments and central agencies.
3. It was set up under the Department of Agriculture, Cooperation & Famers Welfare (DAC&FW).
Which of the statements given above is/are correct?