THE government on Thursday raised the minimum support price of paddy by Rs 50 per quintal to Rs 1000 per quintal in what may push up its food subsidy bill, pegged at Rs 5 5,578.18 crore in the current fiscal. The Cabinet Committee on Economic Affairs chaired by Prime Minister Manmohan Singh also increased the minimum support price of pulses by up to Rs 700 to touch Rs 3,170 a...

In a move expected to boost rural incomes but which will also impact retail prices, the government is set to raise minimum support price for the kharif season's rice crop from Rs 950 to Rs 1,050 a quintal while MSP for pulses is set to jump by between Rs 400-500. The rise in procurement price of pulses is seen as a significant bid to encourage cultivation of foodgrains that are...

A UN expert body on Thursday said surge in food prices in India is a matter of concern, but retail price inflation will cool down to 7.5% this year from around 12% last year. The UN Economic Social Commission for Asia and Pacific (Escap) also projected the economy to grow by 8.3% in 2010-11, compared to estimated 7.2% last fiscal, fueled by the recovery in investment and private consumption. “In India, consumer...

If Planning Commission deputy chairman Montek Singh Ahluwalia’s indication that 35 kg of foodgrain a family and the Tendulkar committee estimate of 8.3 crore BPL households could be the basis of the national food security Act, then the government’s bill adds up to a staggering Rs 63,750 crore a year. At 25 kg a BPL family, it is slightly less at Rs 54,200 crore, which is roughly the food subsidy...

A“reworked and realistic” food guarantee scheme is on the anvil. The Suresh Tendulkar panel report is likely to form the basis for poverty estimation required for this. A hint to this effect came during a meeting of the core group of chief ministers on price rise chaired by Prime Minister Manmohan Singh here on Thursday. The government has been under pressure from state governments to make a fresh BPL assessment....