Economy

Paddy procurement crosses 700 LMT mark, benefiting over 96 lakh farmers

The brisk procurement of paddy is proving quite beneficial for farmers from across the country. The procurement for KMS 2022-23 has progressed to over 702 LMT up to 20.02.2023, and over 96 lakh farmers have already benefitted with MSP outflow of Rs. 1,45,845 crores with the transfer of a payment directly into their account. The government has made all possible arrangements in place for hassle-free procurement operations. Rice delivery against the procured paddy is around 218 LMT in the Central Pool up to 20.02.2023 and an adequate rice stock is currently available in the Central Pool for meeting the requirements of the country.

For the Kharif crop of the current KMS 2022-23, a quantity of 765.43 LMT Paddy, has been estimated to be procured as against 749 LMT Paddy procured during the last KMS 2021-22. The estimated procurement of paddy for the rabi crop of KMS 2022-23 is going to be finalized in the forthcoming Food Secretaries’ meeting to be held on 01.03.2023. With the inclusion of the rabi crop, it is expected that around 900 LMT paddy may be procured during the entire KMS 2022-23.

Centre announces the release of 50 LMT wheat

In the meantime, the Government of India has also decided that the Food Corporation of India (FCI) may offload an additional quantity of 20 LMT of wheat in the open market under OMSS (D) 2023 for sale through E-auction to flour mills, private traders, bulk buyers, manufactures of wheat products like previous years.

The reduction in reserve price along with the additional offloading of 20 LMT of wheat will collectively help in reducing the market price of wheat and wheat products for consumers. Further, the rate of wheat on 10.02.2023 has been reduced from Rs.23.50/kg to Rs. 21.50/Kg pan India for sale to NCCF/NAFED/ Kendriya Bhandar/State Govt. Cooperatives/Federations etc as well as community kitchen /charitable/NGO etc subject to the stipulation that they will convert wheat to atta and sell it to consumers at MRP Rs.27.50/Kg.

States may be allowed to purchase wheat from FCI for their own scheme at the above reserve prices without participating in e-auction. After the announcement of OMSS(D) policy 2023, the department observed that prices of wheat and atta has come down but still inflation figure for January, 2023 was 3 months high at 6.52%. For checking inflationary trend in food economy, the department decided on 17.02.2023 to further reduce reserve price upto 31st March, 2023 to Rs 2150/Qtl pan India for wheat (FAQ) and Rs. 2125 Qtl pan India for wheat of all crops including RMS 2023-24 for sale of wheat to private parties and state governments for their own scheme.

 

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