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With FCI prices high, small traders don’t buy govt stock by Ravish Tiwari

Even as the issue of price rise takes centrestage in Parliament, the government’s attempt to offload wheat in the open market has found few takers among small traders. The reason: the price of wheat fixed by the Food Corporation of India (FCI) for small traders is higher than the prevailing wholesale prices at major centres across the country. In June, the Empowered Group of Ministers (EGoM) headed by Finance Minister Pranab...

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Conflicting signals on inclusion of non-poor in PDS by Gargi Parsai

The Supreme Court's observation that the above the poverty line (APL) population should be kept out of the purview of the Public Distribution System (PDS) is in direct conflict with the National Advisory Council's (NAC) recent decision for universalisation of the system beginning with 150 yet-to-be-identified districts. At present APL beneficiaries are getting up to 12 kg of foodgrains per family. The quantum was revised to 15 kg just this...

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Abandoning godowns, FCI opts for the open by Manish Tiwari

Hemant Gupta’s 30,000-tonne capacity godown for storing foodgrain is one of the largest in Ferozepur, Punjab. In 1978, the Food Corporation of India (FCI) hired it on a monthly rent of Rs75,000, or 50 paise per sq. ft—eventually raised to 80 paise per sq. ft. In 2004, Gupta says, FCI abruptly vacated his godown and stocked the grains in the open nearby. “See the rot within FCI,” says an exasperated Gupta. “They...

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More grain for APL beneficiaries by Gargi Parsai

The Centre has decided to enhance the allocation of foodgrains sold to the Above Poverty Line (APL) population to 15 kg per family per month for six months with immediate effect. There will be no enhancement of the Central issue price at which wheat or rice is provided to the APL. The Below Poverty Line (BPL) beneficiaries will continue to get 35 kg of foodgrains per family per month. This decision, taken...

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48,315 tonnes of wheat lies rotting in Punjab by Manpreet Randhawa

Some 48,315 tonnes of wheat procured by the Punjab government is to be fed to cattle after being declared unfit for human consumption. The stock, enough to feed around 595,000 people through the public distribution system (PDS) for a year, had piled up over the previous three years. Officials at the Food Corporation of India (FCI), which declared the grains unfit after an inquiry in March, said Punjab’s procurement agencies had...

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