Question : TRADE IN AGRICULTURAL COMMODITIES



(a) whether the Government propose to enact a legislation to remove control and restrictions on all kind of trade in agricultural commodities within the country;

(b) if so, the details thereof;

(c) if not, the reasons therefor;

(d) wheather the Government propose to allow food Corporation of India to intervene in the market to facilitate procurement of food grains from farmers; and

(e) if so, the details therefore?

Answer given by the minister


THE MINISTER OF STATE IN THE MINISTRY OF CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION ( SHRI SRIRAM CHAUHAN )

(a), (b) & (c) : No, Sir. However, Central Government`s National Policy is to treat the entire country as a single food zone for free movement of foodgrains. Some States viz. West Bengal, Tamil Nadu and Jammu & Kashmir are still keeping the movement restriction on foodgrains on account of local conditions. Government has also recently advised all the States/UTs., to do away with all types of restrictions on trade and industry dealing with wheat and wheat products and also for removing restrictions, if any, on movement of foodgrains.

(d) Open sale of wheat and rice is undertaken by the Government through Food Corporation of India as and when the stock position is comfortable, and is discontinued when there are shortage of stocks in the Central Pool. Open sale of wheat and rice has been started from 11.7.2000 and 4.9.2000 respectively.

(e) The open Market prices of wheat have been fixed zone-wise as follows:

ZONE Rs./Qtl.
North 650/- South 743/- West 724/- East 724/-
The Food Corporation of India has resorted to tender sale of rice w.e.f.

4.9.2000 in the non-procuring States or where the procurement of paddy is negligible. In such States the FCI has offered rice to the State Governments at the rate of Rs.950/- per quintal.