According to the third advance estimate, India’s foodgrain production in the current farm year (to end in June 2011) will be a record 235.88 million tonnes, including an all-time high wheat output of 84.27 million tonnes against 81.47 million tonnes projected earlier. Ahead of the wheat harvest, the country had buffer foodgrain stock of 47 million tonnes at the start of 2011 in the central pool. A buffer close to double...

In early April, the government was sitting on a pile of 44 mt of wheat and rice, more than double of what is required for maintaining the buffer stock Every three or four years, India witnesses a boom-and-bust cycle in agriculture. In the trough, prices hot up and imports of foodgrains become necessary. At the crest, all that is forgotten, there is talk of exports and life moves on. Any thought...

What can make a real difference to food prices is determined international action to increase food production in regions that are richly endowed with land and water resources High food inflation has been the source of major concern in India for more than a year. Soaring food prices have been the cause of unease internationally as well. A Food and Agriculture Organisation (FAO) press release of 3 March, 2011 indicates that...

A key government panel has warned that the country's overflowing grain bins will lead to a crisis if the government did not come up with a plan to dispose of the stored grain . The Commission for Agricultural Costs and Prices (CACP) painted the grim picture in a presentation to Prime Minister Manmohan Singh last week. It said the Centre, which is the biggest buyer of grain in the country, was sitting...

With buffer stocks ahead of harvest being twice the norm, limiting wheat procurement in the coming season is a judicious option. It is time for a thorough overhaul of the foodgrains procurement and buffer stocking policy. With the rabi season harvest of grains — mainly wheat, followed by paddy — just days away, a major challenge will be finding appropriate storage space. As of March 1, the Food Corporation of India...