Kerala to go for Rs 60-cr rice shopping in West Bengal

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Thursday , May 01, 2008 at 2335 hrs Stung by a 35% surge in the price of its staple rice grain in the last six months, the LDF government in Kerala has decided to go rice-shopping in West Bengal. The state government intends to continue its sourcing efforts in Andhra Pradesh too, where rice millers are stuck in Andhra Government”s rice levy cleft-stick.

As much as Rs 60 crore has been earmarked to purchase six lakh tonne of rice urgently from West Bengal. This will be continued to be sold through the state”s PDS outlets, like Supplyco, at the subsidised price of Rs 14 per kilo, Kerala chief minister VS Achuthanandan said.

The Kerala cabinet, which met on Wednesday, was concerned by the alarming fall in arrivals from the main rice-producing markets, against the shortfall in Kerala. Out of the 30 lakh tonne annual offtake, the state produces only six lakh tonne. In the current season, paddy production would have been up a tad through intensified policy efforts, but unexpected summer rains and poor post-harvest management put an end to the efforts. Worsening the crisis, the Centre had cut its PDS quota on APL by 80%.

A special session of the state cabinet would be held soon to work out a co-ordinated strategy to ensure food security, the chief minister said.