Silos struck with saturated stocks
A saturated food reserve has forced the government to go for immediate release of food to save the grains from rotting and making room in the silos for fresh intakes.
Official sources, however, ruled out any possibility of the old stock rotting, provided all food-supported programmes are implemented 'in time'.
An all time record stock of 16 lakh 25,000 foodgrain in the godowns has created a situation to face up to which the government has to sanction additional grains for food-supported development programmes!
Otherwise, the age-old silos would not have any space left for fresh procurements to be stocked, said sources.
A total number of 639 public sector granaries have got a maximum stock capacity of 18 lakh MT.
But, due to lack of maintenance and renovations the 'stock-capacity' has reduced substantially causing possibilities of the grain quality getting spoilt, if preserved for longer period, that is.
However, after the successive bumper crops in last boro, wheat and Aman, government had to go for vigorous procurement drive to give price incentives to the growers.
Food Ministry sources said that government has raised budget for Food for Works (FFW) programme from 5 lakh 25,000 MT to 7 lakh 5,000 MT to combat the 'saturating stock situation'.
It would be 'political risk-taking' for the government if any grain rots in the silos, said sources recalling such an incident that had occurred in 1994. Mentionably, findings of the government investigation into that rice-rotting scandal has never seen the daylight, though three years have elapsed.
In addition to normal budgetary allocations, government would off-load an additional one lakh MT for works under Local Government Engineering Department and an additional 50,000 MT for works under Water Development Board in January.
According to the Directorate of Food, government would off-take a total of 12 lakh MT grain in the current dry season under Public Food Distribution System (PFDS).
The allocation would go to infrastructure development works, vulnerable group feeding (VGF), vulnerable group development (VGD) and relief purposes.
To begin with, government had already released some 40,000 MT from the godowns on the eve of the Muslims' holy Eid festival when ministers distributed food relief among poor in their respective districts.
On the other hand, government would have to keep room in the silos for Aman and upcoming Boro storage and also for its food aid programme.
Meanwhile, a Food Ministry report noted that due to abundant domestic market supplies, the open market price of foodgrains had fallen in November and early December 1999.
To protect the market price from dropping further, the government has already imposed duties on rice import.
And now reports from rice-rich northern regions suggest that price is picking up gradually, much to the delight of the farmers.
According to a Novartis newsletter, though the prices of paddy are less than the 1998 aman season, farmers are happy with the price range. 1998 was a flood-year and prices were high all through, the newsletter explains.
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