States Can Purchase Rice from FCI Without Participating in E-Auction: Govt

Grain-deficient states can directly purchase from the Food Corporation of India (FCI) under the Open Market Sale Scheme (Domestic) (OMSS [D]) without participating in the e-auction with effect from August 1, 2024. This was announced by the Union Minister of Consumer Affairs, Food and Public Distribution Pralhad Joshi. The decision has been taken to reduce the huge surplus of stocks before the commencement of the new procurement season, according to an official release.

Under the OMSS (D), the Department of Food and Public Distribution, Government of India, will directly offload grain to states for Rs 2,800 per quintal (excluding the cost of transportation). 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 the earlier Rs 2,900 per quintal, the release said quoting Joshi. The minister also asserted that the sale of atta and rice under the ‘Bharat’ brand which was slated to run till June 30, 2024, will continue.

Speaking on the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY), he said that the Centre has decided to continue to provide free food grains to about 81.35 crore beneficiaries (i.e. Antyodaya Anna Yojana (AAY) households and Priority Households (PHH) beneficiaries) under the PMGKAY for five years with effect from January 1, 2024 with an estimated financial outlay of Rs. 11.80 lakh crore totally to be borne by Central Government.

“It is the biggest ever and the largest food security programme," Joshi said, adding that 497 LMT food grain was distributed in 2023-24, while till June 2024, the Centre has distributed 125 LMT food grain.

To address anaemia and nutrition deficiency in the country, the Union Minister said that under the PMGKAY Scheme, the Government had completed all three phases Custom-milled rice has been replaced with fortified rice in every scheme of the Government and 100 per cent coverage of distribution of fortified rice has been achieved by March 2024. “Quality food and nutritious food is the top priority of PM Modi's government”, he said.

On the high food inflation, the Union Minister said that tomatoes and other vegetables are seasonal. “Tomato price is stabilising and has made subsidised tomato available for Rs 60 kg without the use of PSF”, he said. On pulses, Joshi said that the sowing area has increased and there will be 100 per cent procurement of pulses from the farmers.

He also informed that ethanol production capacity has increased to 1,589 crore litre per annum, to date which is sufficient to meet the domestic ethanol requirement of the country. With payment of about Rs 1.05 lakh crore, more than 94.8 per cent of cane dues for the current sugar season have been cleared taking cane dues to the lowest level, he said.

He said that in the interest of farmers, about 99.9 per cent of cane dues for the 2021-22 sugar seasons have been cleared. For the previous sugar season 2022-23, against Rs. 1,14,494 crore cane dues, about Rs 1,14,235 crore have been paid and only Rs 259 crore dues are to be given. Thus, about 99.8 per cent of cane dues have been paid to farmers, Joshi said.

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