Cabinet to take up pulse subsidy today

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New Delhi, Nov 19 : The Union Cabinet is likely to discuss a proposal forwarded by the consumer affairs ministry for subsidised sale of pulses through public distribution system at a meeting scheduled for Thursday.

According to sources the Cabinet at the meeting would deliberate on the quantum of subsidy to be given on sale of pulses and also the process through which the distribution would take place.

Sources said as per the proposal, the government is planning provide 1 kg of pulses per family at a price that is at least Rs 10 per kg less than the prevailing market price.

The Cabinet is also likely to discuss the issue of implementation of Sixth pay commission for employees of public sector units.

The government is planning to distribute around 10 lakh tonne pulses in the coming few months to curb a spurt in prices.

Sources said although the finer details on the exact quantum of subsidy is still not finalised but if the pattern of edible oils is followed then a 25% subsidy at current prices should come to something around Rs 6-7 per kg.

The cheap pulses will also be made available through state government outlets like Shakari Bhandars and cooperative stores.

Meanwhile, the Centre in 2007 had asked public sector trading firms -- MMTC, STC, PEC and Nafed -- to import 15 lakh tonne pulses in 2007-08 fiscal. These agencies have imported 3.52 lakh tonnes of pulses this year till October 16.

Last month, agriculture minister Sharad Pawar said the scheme to supply pulses at subsidised prices through ration shops would start in next one-and-half months.

“If we have to make pulses available to the weaker section, there is no other alternative than supplying them through the public distribution system,” Pawar said while replying to supplementary during Question Hour in Rajya Sabha.

India’s annual pulses production has been stagnant at around 15 million tonnes to 16 million tonne, but demand is around 18 million tonne. To bridge the gap the government generally imports pulses mainly from Myanmar and Australia.

Since the last few years the government has been trying to raise pulses production the country, but has met with little success as the crop faces stiff competition for acreage from wheat and rice.

Erratic monsoon and low returns have also limited any sharp growth in pulses output. Sources said absence of any big breakthrough in pulses seed is also preventing any sharp rise in output.