(a) whether low Minimum Support Price and rising prices of foodgrains
has led to hoarding and profiteering by the companies trading in foodgrains
while the farmers and consumers continue to suffer as reported by the
International Agency Oxam;
(b) if so, the details thereof indicating the salient features of
the said report; and
(c) the details of remedial measures being taken by the Government
in this regard?
THE MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE AND THE MINISTER OF STATE IN THE MINISTRY OF CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION(SHRI TASLIMUDDIN)
(a): Higher Minimum Support Price (MSP) have been announced
by Government in successive years. Details are given in Annexure.
Government is not aware of a report of International Agency Oxam .
(b): Does not arise.
(c) : Government is aware of increase in prices of food items
and has taken a number of steps to control the price rise and to soften
the impact of price rise on consumers. Government has taken the following
specific measures to protect the vulnerable sections of society.
(i) Government has protected poor sections of society through Targeted
Public Distribution System (TPDS) and Antodaya Anna Yojna (AAY). Under the
TPDS, wheat, rice, sugar and kerosene oils are allocated to State Governments
for distribution through the Fair Price Shops. The off take of wheat and rice
under Targeted Public Distribution System (TPDS) and other welfare schemes (OWS)
has, however, been going up. For TPDS, wheat and rice off take have gone up
from 242 lakh tonnes in 2003-04 to 316 lakh tonnes in 2006-07 and 335.27 lakh
tonnes in 2007-08. During the period April-September 2008, 167.38 lakh tonnes
wheat and rice has been allocated under TPDS. The Central Issue Price for rice
and wheat has not been revised since 1.7.2002. For wheat it remains at Rs 4.15
per kg for BPL and Rs 2 per kg for AAY. For rice, it is Rs 5.65 per kg for BPL
and Rs 3 per kg for AAY.
(ii) Government launched a scheme on 28.07.2008 to distribute one million
tons of edible oils to States/UTs at a subsidy @ Rs.15/kg. Orders were placed
for import of 3.60 lakh tons of edible oils. Of this, about 3.34 lakh tons of
edible oil has landed; and about 1.82 lakh tons have so far been distributed
to various States/UTs by Central PSUs for distribution to ration card holders
@ 1 kg per ration card per month.
(iii) Government has recently introduced a scheme under which the Public
Sector Agencies like National Agricultural Cooperative Marketing Federation
of India Ltd. (NAFED), MMTC, PEC Ltd and State Trading Corporation (STC) can
import pulses and sell the same at a subsidy of Rs.10/- per kg to the State
Governments for distribution of pulses through Public Distribution System (PDS).
It will be the responsibility of the State Government to ensure that pulses
imported under the scheme are lifted and the targeted consumers get it. The
scheme, therefore, aims at augmenting availability of pulses within the
country through imports specifically for supplying to the poorer sections
through PDS at a subsidized price.