SC refuses stay on imports

NEW DELHI: The Supreme Court on Thursday refused to stay the government's decision to import 10 lakh tonne of wheat by August this year, even as the Centre admitted domestic procurement of the grain will fall much short of the target.

A bench headed by Chief Justice K G Balakrishnan did not grant a stay on wheat imports as sought by social activist Vandana Shiva. The apex court also directed Ms Shiva to make a representation to the government on giving higher purchase price to farmers for procuring the grain.

Solicitor general GE Vahanavati appearing for the Centre said that for the current Rabi marketing season, procurement is expected to be about 100 lakh tonne as against the estimated requirement of 150 lakh tonne for Targeted Public Distribution System.

Government agencies such as Food Corporation of India have so far bought 96.7 lakh tonne of the commodity as on May 16. State Trading Corporation has floated tenders for import of 10 lakh tonne of wheat by August 15, said Mr Vahanavati.

Agriculture minister Sharad Pawar had earlier said the government could import between 40-50 lakh tonne of wheat to bridge the shortfall. India, the world's second-largest wheat producer, had imported 55 lakh tonne of the grain last year.

The Centre in its affidavit has said the decision to import wheat in 2007-08 was taken to meet the needs of the public distribution system. "If such a step was not taken, the poorer sectors would be put to great hardship," the affidavit said. It also noted that private companies have so far procured 5.16 lakh tonne of wheat.

Ms Shiva had sought quashing of the government's decision to import wheat on the ground there was no need for imports as 53,000 tonne of wheat was still lying unutilised at ports.