Question : FOODGRAIN PROCUREMENT BY PRIVATE COMPANIES

(a) whether some private companies have started purchasing foodgrains directly from the farmers at prices much higher than those fixed by Government for procurement;

(b) if so, the details thereof indicating the rates being paid by private companies and those fixed by the Government, commodity-wise;

(c) the impact of private procurement on the availability and price of various foodgrains in the domestic market;

(d) whether the Government proposes to bring a new comprehensive food policy in view of instability in production of foodgrains, pulses and sugar in the country; and

(e) if so, the details thereof and the time by which it is likely to be implemented?

MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE AND MINISTER OF STATE IN THE MINISTRY OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION(DR. AKHILESH PRASAD SINGH)

(a): Yes, Sir.

(b): The Minimum Support Price (MSP) for foodgrains fixed by the Government for Kharif Marketing Season (KMS) 2006-07 and Rabi Marketing Season (RMS) 2007-08 is annexed. Data regarding the quantity of foodgrains purchased by each private company and rates paid by them is not maintained in this Department. However, as per latest returns filed under the Wheat (Stock declaration by Companies or Firms or Individuals) Order, 2007 (upto 10.8.2007), the purchase of wheat declared by private companies, who have purchased more than 50,000 tonnes each, in RMS 2007-08, is 18.89 lakh tonnes.

(c): So far in this year there is no substantial impact of private procurement on the availability of various foodgrains and the prices in the domestic market.

(d)&(e): In order to increase production and productivity, the National Development Council (NDC), in its meeting held on 29th May, 2007, adopted a resolution to enhance the production of rice, wheat and pulses by 10 million, 8 million and 2 million tonnes by 2011.

Government has initiated action to implement the NDC resolution, through the National Food Security Mission.