The Aryavarth Express
Agency(New Delhi): To manage food inflation and prevent speculative practices, the Government of India has mandated that traders, wholesalers, retailers, big chain retailers, and processors/millers across all States and Union Territories declare their stock position of rice/paddy. This order includes various rice categories like Broken Rice, Non-Basmati White Rice, Parboiled Rice, Basmati Rice, and Paddy. The entities are required to update their stock positions weekly on the Department of Food and Public Distribution’s portal, starting within seven days of the order’s issuance.
In an effort to check inflationary trends in the food economy, the government has decided to initiate the retail sale of ‘Bharat Rice’ to consumers. In its first phase, 5 lakh metric tonnes (LMT) of rice has been allocated for retail under this brand through NAFED, NCCF, and Kendriya Bhandar. ‘Bharat Rice’ will be sold at Rs. 29/kg in 5 Kg and 10 Kg bags and will be available at mobile vans, physical outlets of the three agencies, and soon on e-commerce platforms.
Despite a good Kharif crop and ample stocks with the Food Corporation of India (FCI), rice prices have increased by 14.51% over the past year. To address this, the government has taken several steps, including offering rice to traders/wholesalers under Open Market Sale Scheme (OMSS) at Rs. 29/Kg. The Reserve Price of rice has been reduced, and the quantity limits revised. As a result, rice sales in the open market have increased, reaching 1.66 LMT as of January 31, 2024.
Additionally, the export policy for Broken Rice has been amended from “Free” to “Prohibited,” and a 20% export duty on Non-Basmati Rice and parboiled rice has been imposed. These measures aim to curb the rising domestic rice prices.
The government is also closely monitoring the stock and prices of wheat, with the All-India average Domestic Wholesale & Retail price showing a decreasing trend. To control wheat prices, wheat is being offloaded in the market through weekly e-auctions under OMSS(D). The weekly offering of wheat has been gradually increased, and as of January 31, 2024, 75.26 LMT wheat has been sold.
Regarding sugar, Ex-Mill prices have decreased after the start of the crushing season, and sugar prices are stable at the retail and wholesale levels. In the edible oils sector, the government has reduced import duties and cess on various oils to ensure the benefits of decreased international prices reach consumers. This has resulted in a significant decrease in the retail prices of various edible oils.
These measures are part of the government’s ongoing efforts to ensure affordability of essential commodities and to control the pace of price increases in the country. The Department of Food & Public Distribution is actively monitoring and reviewing the prices of essential commodities and intervenes as necessary.