States can buy FCI rice without participating in e-auction at Rs 2,800/100 kg: Minister

New Delhi [India], August 1 : Union Minister of Consumer Affairs, Food and Public Distribution Pralhad Joshi announced on Thursday that grain-deficient states can directly purchase from Food Corporation of India (FCI) under the open market sales without participating in the e-auction starting today.
The minister said that the decision has been taken to reduce the huge surplus of stocks prior to the commencement of the new procurement season.
Under the open market sale scheme, the Department of Food and Public Distribution will directly offload grain to states for Rs 2,800 per quintal (excluding the cost of transportation).
Joshi added that 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 earlier Rs 2,900 per quintal.
He 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), the Union Minister reiterated that Centre is providing free food grains to about 81.35 crore beneficiaries for a period of five years with effect from January 1, 2024 with an estimated financial outlay of Rs 11.80 lakh crore.
To address anaemia and nutrition-deficiency in the country, the Union Minister said that under the PMGKAY Scheme the Government has successfully completed all three phases and Custom-milled rice has been replaced with fortified rice in every scheme of the Government and 100% coverage of distribution of fortified rice has been achieved by March, 2024.
"Quality food and nutritious food is the top priority of PM Modi government," he said.
On the high food inflation, the Union Minister said that tomato and other vegetables are seasonal.
"Tomato price is stabilising and have made subsidised tomato available for Rs 60 kg without the use of PSF (price stabilization fund)," 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.
Rising food prices continued to be a headache for Indian consumers, with the inflation rate in the food segment almost doubling year-on-year in June. Food inflation almost doubled to 8.36 per cent last month, versus 4.63 per cent reported in the in the same month of 2023, official data showed. The retail inflation for all segments of food--cement and products, meat and fish, egg, milk and products, oils and fats, fruits, vegetables in particular, pulses and products, sugar, spices, prepared snacks, and sweets--rose month-on-month.
India's overall retail inflation rate hardened in June, taking a departure from the moderation it witnessed in the past few months, pushed by rising food prices.