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Grain deficient states can directly purchase from FCI from August 1

The decision has been taken to reduce the huge surplus of stocks prior to the commencement of the new procurement season, he added.

Grain deficient states can directly purchase from FCI from August 1

(Representational Image; Source: iStock)

In a major policy shift, the grain deficient states can directly purchase from Food Corporation of India (FCI) under the Open Market Sale Scheme (Domestic) (OMSS [D]) without participating in the e-auction from August 1, said Union Minister of Consumer Affairs Pralhad Joshi.

The decision has been taken to reduce the huge surplus of stocks prior to the commencement of the new procurement season, he added.

Under OMSS (D), the Department of Food and Public Distribution will directly offload grain to states for Rs 2,800 per quintal (excluding the cost of transportation), he told.

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The minister added that if the States/UTs want to procure more than the stipulated 5 kg of free grain per individual, then they can procure that at the same price at Rs 2,800 per quintal instead of earlier Rs 2,900 per quintal.

He asserted that the sale of atta and rice under the ‘Bharat’ brand which was slated to run till June 30, 2024 will continue.

Further speaking on the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY), the Minister said that Centre has decided to continue to provide free food grains to about 81.35 crore beneficiaries for a period of five years with effect from January 1st, 2024 with an estimated financial outlay of Rs 11.80 lakh crore totally to be borne by Central Government

These beneficiaries include Antyodaya Anna Yojana (AAY) households and Priority Households (PHH).

“It is the biggest ever and the largest food security programme” he said.

The food grain distributed in 2023-2024 is 497 LMT and up to June 2024, the Centre has distributed 125 LMT.

He also mentioned that to address anaemia and nutrition-deficiency, under the PMGKAY Scheme, the government has successfully completed all three phases and Custom-milled rice has been replaced with fortified rice in every scheme of the Government and 100% coverage of distribution of fortified rice has been achieved by March, 2024.

“Quality food and nutritious food is the top priority of PM Modi government”, he said.

Further on high food inflation, he said that tomato and other vegetables are seasonal. “Tomato price is stabilising and have made subsidised tomato available for Rs 60 kg without the use of PSF”, he said.

On pulses, the minister said that the sowing area has increased and there will be 100% procurement of pulses from the farmers.

He also informed that ethanol production capacity has increased to 1589 crore litres per annum, till date which is sufficient to meet domestic ethanol requirement of the country.

With payment of about Rs 1.05 lakh crores, more than 94.8% cane dues for the current sugar season have been cleared taking cane dues to the lowest level, he said.

He also added that in the interest of farmers, about 99.9% of cane dues of 2021-22 sugar seasons have been cleared. For the previous sugar season 2022-23, against cane dues payable of Rs 1,14,494 crores, about Rs 1,14,235 crores have been paid & only Rs 259 crore dues are to be paid. Thus, about 99.8% cane dues have been paid to farmers, Joshi said.

On One Nation One Ration Card, he noted that Rs 145 crore portability transactions have been carried out nationwide till date. A total of 293 LMT of food grains to the NFSA beneficiaries either inter-state or intra-state have been carried out.

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