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In the wake of speculation that foodgrain shortages could persist leading to an import of around 3 million tonnes of wheat, the Centre is expected to hold a high-level meeting on February 12 to discuss the foodgrain production and availability sit...
By Prabha Jagannathan, TNN |
NEW DELHI: In the wake of speculation that foodgrain shortages could persist leading to an import of around 3 million tonnes of wheat, the Centre is expected to hold a high-level meeting on February 12 to discuss the foodgrain production and availability situation for the year.
Meeting will consider possible imports and shortfall, if any, of supply of foodgrain to the country���s PDS and other welfare programme. It would also take stock of the situation as regards oilseeds. Should supply continue to be tight, it could be another year of the UPA���s flagship NREGP beneficiaries being paid only in cash and not in foodgrain.
The meeting will gauge the demand-supply situation for pulses,oilseeds, sugarcane, wheat and rice against the background of this year���s prolonged spell of high prices for essential commodities, leading to banning of sugar exports, restrictions of pulses exports as well as a large quantum of edible oil imports.
Edible oil prices are expected to rule high globally this year too on the back of rising demand for biofuel, and this could affect the country���s edible oil import bills significantly. Food secretary Nand Kumar is expected to hold the meeting with state counterparts next week, even as the Second Advance Estimate on crop production released on Tuesday set alarm bells ringing on the oilseeds front, although it set some sharp worries to rest for the present over wheat output and overall foodgrain production.
The estimates peg overall foodgrain production for the year ���06-07 at 209.17 million tonnes (this includes wheat at an average 72.5 million tonnes, pulses at 14.5 million tonnes and the rest is rice and oilseeds). This figure of 209 million tonnes is a good 5.8 million tonnes more than the final estimates for 2005-06.
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Close to 6 million tonnes of wheat were imported in 2006-07 at a very high cost, thanks to a final production of only around 69 million tonnes in 05-06 and heavy buying by the private sector (over 2 million tonnes), primarily in UP, thus, jeopardising food grain supply to all the welfare and PDS programmes. Sugarcane was at a record 315.5 million tonnes compared to last year���s final estimates of 281.17 million tonnes.The second estimates for the year, however, pegged oilseed production at an abyssmal 23.6 million tonnes as compared to close to 28 million tonnes last year. The estimates also peg production of cotton at a good 20.96 million bales, and jute and mesta (11.39 million bales). Both these estimates are higher than last year���s final estimates. The Second Advance Estimates are the first ones to project production figures for the entire year, in this case 2006-07.
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