Stability in markets will be determined by size of next year's crop The Food and Agriculture Organisation (FAO) has warned about a further increase in global food prices in 2011 if there is no significant increase in production of major food crops. In the latest edition of its “Food Outlook” report, the agency observed that the rise in global prices, all of which was accruing in the second half of 2010, owing...

The Food Corporation of India (FCI) should feel relieved that the private sector has stepped in to create additional foodgrain storage capacity, bridging the extant gap. However, it is difficult to fathom why much of the new warehousing capacity is sought to be put in place in grain-surplus states (production centres) — notably Punjab and Haryana, besides some others like Andhra Pradesh, Tamil Nadu and Maharashtra — rather than in...

Irregularities in the public distribution system (PDS) are rampant in the district due to lack of an effective vigilant mechanism. Fair price shop dealers, who are allegedly having nexus with politicians and bureaucrats, are diverting essential commodities to the black market. There are 2,600 fair price shops across the district and about 11 lakh poor families benefit with these. The vigilance and enforcement officials conducted several raids and unearthed illegally hoarded subsidised rations...

The food distribution agencies of states across India have failed to lift the desired quantities of foodgrains under the additional allocation made recently for the Public Distribution System, says the Food Corporation of India (FCI), the central government’s procurement and storage agency. FCI sought instructions from the Centre in September to offload an additional 2.5 million tonnes for the PDS as a consequence of the reports about poor storage and rotting...

The case of the Food Security Bill gets curiouser and curiouser.  What started off as a fight between universalization and targeting has ended (or so it would seem) in a complete victory in the National Advisory Council, Government of India (NAC) for targeting through universalization (if such a thing was possible), with the honourable exception of Prof Jean Dreze, who has to be commended for his ‘note of disagreement’. On...