Question : STOPPAGE OF WHEAT SUPPLY TO FLOUR MILLS

(a) whether the supply of wheat at the subsidised rate of Rs.600/- per quintal has been stopped to flour mills in Punjab, Haryana and Chandigarh;

(b) if so, the reasons therefor;

(c) whether it has resulted in the closure of large number of flour mills in these States/ Union Territory because of their inability to purchase wheat at economy rates;

(d) whether the mills owners have urged the Government of lift the ban on supply of wheat by Food Corporation of India to these mills at the existing terms and conditions; and

(e) if so, the details thereof alongwith the steps initiated by the Union Government in this regard?

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

(a)&(b): The open sale of wheat at the rate of Rs.650/- per quintal was suspended during the months of April and May, 2001 in North Zone (except the States of Jammu & Kashmir and Himachal Pradesh) with a view to encourage the Roller Flour Mills and other bulk buyers of the North Zone to purchase wheat directly from farmers during the procurement season.

(c): No information has been received in this regard, Sir.

(d)&(e): Some of the associations of flour mills from North Zone had requested the Government for resumption of open sale of wheat in the North Zone. After consideration of these requests, the open sale of wheat was resumed in the month of June, 2001.