Rice Industry Faces Govt Pressure To Lower Prices

ENA Sectors 2023-12-19 16:06:07 New Delhi, Dec 19 (KNN) The Union government, in a statement released on Monday, instructed rice industry associations to undertake actions to lower domestic non-basmati rice prices to optimal levels and to vigorously combat profiteering practices. Sanjeev Chopra, Secretary, Department of Food and Public Distribution in the Ministry of Consumer Affairs hosted a crucial meeting on Monday with leading figures from the rice processing industry to delve into the current state of non-basmati rice pricing within the domestic market. The government reports that there is sufficient stock of high-quality rice, being offered to traders and processors at â¹29 per kg under the Open Market Sales Scheme (OMSS). This directive comes in response to the food ministry's acknowledgment that, despite this, rice is being sold at â¹43 to â¹50 per kilogram in the retail market. In July, the government implemented a ban on the export of non-basmati white rice and imposed a 20% export duty on parboiled rice. Additionally, in October, the Centre established a minimum export price of USD 950 per tonne for basmati to discourage the export of this premium rice variety, aiming to enhance domestic availability and affordability of the commodity. It was discussed in the meeting that the domestic prices of rice are increasing despite a good crop this kharif, ample stocks with Food Corporation of India (FCI) and in the pipeline. The prices have increased despite various regulations in place on rice exports, the government statement said. The food ministry raised concerns about the consistent annual inflation rate of rice hovering around 12% over the past two years. The meeting emphasized the urgency of delivering the advantages of lower prices to end consumers. Guidance has been issued to leading associations, urging them to ensure their members reduce the retail price of rice, effective immediately. There are reports of a sharp increase in the margins being availed by wholesalers and retailers which needs to be tempered, the statement said. Moreover, the official statement noted that if there is a notable discrepancy between the Maximum Retail Price (MRP) and the current retail price, it should be brought down to a realistic level to ensure the protection of consumer interests. (KNN Bureau) 35952 https://knnindia.co.in/news/newsdetails/sectors/rice-industry-faces-govt-pressure-to-lower-prices 2023-12-19 16:06:07 knnindia.co.in Rice Industry Faces Govt Pressure To Lower Prices