Less than a week after India announced a record harvest, Hindustan Times has learnt that the nation’s main grain-buying agency is running out of money for its massive nationwide purchase operation. Over the last month, the state-run Food Corporation of India (FCI) has twice stopped payments to state governments, various grain-purchasing agencies and rice millers who buy wheat and rice, the main food crops, from millions of farmers, a senior...

Unpaid bills of Rs 17,000 crore — and growing — have revealed hidden food subsidies and acute financial mismanagement as the government prepares to adopt the costliest, most ambitious legislation of its tenure. Documents accessed by Hindustan Times reveal this is the money the government now owes the state-run Food Corporation of India (FCI), hampering its mammoth operation of buying grain from the farmer, storing it and selling it cheaply...

Pawar said the excess wheat is not to be opened for export until it is assessed how much grain will be needed for distribution under the National Food Security bill Agriculture minister Sharad Pawar Monday said the government will take a final view on lifting the export ban on wheat and non-basmati rice after assessing foodgrains requirement under the proposed National Food Security Act. Last month, Pawar had said that the government...

Amidst hue and cry over micro-finance institutions (MFIs) charging the rural poor exorbitant interest rates, Reserve Bank of India norms continue to allow these entities a free hand in determining their charges. The banks lending to MFIs too continue to have full discretion in fixing their rate of interest. RBI has issued a latest master circular reiterating its earlier stand on micro-credit on February 14. Master circulars are like ready-reckoners on...

IT WAS a windfall five years ago that taught Panchali Satyavva the power of a lie. It happened one Monday afternoon in Someshwar village of Nizamabad district in Andhra Pradesh. It was raining in sheets and she had just placed a bucket under the steady trickle of water from the roof of her hut. Two men were at her door, holding umbrellas and offering her an unsolicited Rs. 5,000. They...