The Union government may not meet the set target of rice procurement for the current crop year 2007-08 but will surpass the size of last year’s rice procurement.
Rice procurement till date in the current crop year has crossed 180 lakh tonne, up by 4 lakh tonne compared to same period in the previous year, said Alok Sinha, chairman and managing director of Food Corporation of India (FCI). Looking at the current trend, he said the procurement for the current crop year (October 2007-September 2008) would cross 260 lakh tonne. Earlier, the FCI had made arrangements to procure 275 lakh tonne of rice. “Arrangement means there should be enough staff, enough gunny bags and enough cash credit from the banks,” Sinha said. “But the first crop in Tamil Nadu was affected due to adverse climatic factors. As on this date, TN is giving 2 lakh tonne less than last year. It seems we will reach 260 lakh tonne (this year) and we can touch 265 lakh tonne.”
“But rice has 12-month procurement season. Rice has two crops in Andhra Pradesh, Tamil Nadu and Orissa. The second crop was not even sown in these states,” he noted.
He said, “If the second crop in Tamil Nadu, Orissa and Andhra Pradesh are bumper, we can also touch 275 lakh tonne”.
Sinha said the government would increase the rice procurement by 10-25 lakh tonne this year compared to 250 lakh tonne procured in 2006-07.
The government requires 21 lakh tonne per month for public distribution system and other welfare schemes.
The current MSP for paddy is fixed at Rs 745 per quintal.