Centre optimistic about wheat export

By Our Special Correspondent

NEW DELHI, MARCH 28. The Centre proposes to put up at least 50 lakh tonnes of wheat for export through global tenders in the next fiscal on the basis of demand by the exporting agencies.

Announcing this here today, the Minister for Food, Public Distribution and Consumer Affairs, Mr. Shanta Kumar, said the new basic rate from March 31 would be set at Rs. 4300 a tonne from the present level of Rs. 4150 a tonne.

The Minister explained that the gap between the economic cost and the issue price for export was `notional' when contrasted with the savings effected in more than two years of carrying cost of foodgrains, which amounted to about Rs. 220 tonnes a year. In addition, the Food Corporation of India (FCI) received payment on a stock which otherwise would have proved to be a blocked asset with interest and storage paid for it.

Mr. Shanta Kumar said based on the assessment of agencies, it was felt that about 20 lakh tonnes of wheat could be exported by March 31. Against this, the cost for 19.62 lakh tonnes had already been deposited with FCI by various agencies and 16.92 lakh tonnes lifted.

On April 1, against a buffer norm of 15.8 million tonnes, the stocks would be over 46 million tonnes. The procurement of wheat in the coming rabi is expected to be around 19 million tonnes. For carrying the surplus stocks, an additional subsidy of Rs. 6000 crores would accrue. Export of wheat and rice was a step for liquidating surplus stocks.

Answering questions, Mr. Shanta Kumar said there was no proposal to revise cess on oilseeds imports. He said the Antodaya scheme for giving concessional foodgrains (at Rs. 2 a kg for wheat and Rs. 3 a kg for rice) to the poorest of the poor had taken off well in Himachal Pradesh, Rajasthan, Madhya Pradesh, Chattisgarh, Andhra Pradesh, Uttar Pradesh and the Union Territory of Dadra and Nagar Haveli.

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