Soaring rice prices could throw spanner in Siddaramaiah's Anna Bhagya

Karnataka would have to choose between buying from the domestic or international market, and will be challenged as the price has been constantly on the rise. 
Image used for representational purpose.
Image used for representational purpose.

BENGALURU: While the Siddaramaiah government is determined to fulfil its promise of giving 10kg rice per head to below-poverty line (BPL) families, there is a serious hitch. Food procurement experts pointed out twin problems -- international rice prices have zoomed, and the kharif crop yield could be unpredictable. Production is not looking promising, with floods in Punjab and Haryana and the monsoon failing in many parts of the country. 

The other serious problem is that three rice surplus states -- Telangana, Odisha and Chhattisgarh -- which are leading rice growing states, produce parboiled rice which may not be suitable for Karnataka’s needs.
Although the government is claiming that the rice crop expected later this year will be good, food procurement experts say there could be a shortfall. Former FCI chairman DV Prasad said, “As against initial estimates of wheat production, after harvest, actual production is probably about 8-10 million tonnes less, compared to earlier estimates.”

Agriculture experts differed on the cause.

“The problem is the erratic monsoon. As in Karnataka, the monsoon has been playing truant across India, and experts say rice production would be lower than previous years’ annual average. This is expected to push up prices. Rice is primarily a kharif crop and is dependent on rain. Lower output means higher prices, which would put pressure on Karnataka,” they said. 

Karnataka would have to choose between buying from the domestic or international market, and will be challenged as the price has been constantly on the rise. 

The Congress government is looking for sources to procure rice, and experts say “there are serious obstacles and constraints in resolving the procurement issue. Although availability of rice might not be an issue, the cost would be significantly higher than the FCI price”.

Cash transfer scheme
The state government has already introduced the cash transfer scheme in lieu of supply of rice to fulfil its commitment, and has the option of continuing this or substituting rice with millets, ragi or jowar. 
But the state government appeared undaunted by the challenge. Food Minister K H Muniyappa told The New Indian Express, “We will keep our promise, give us a week’s time, we will procure rice and deliver it.’’

FKCCI’s Ramesh Chandra Lahoti said there is a 20 per cent jump in prices of all varieties of rice. “Idli-dosa rice was Rs 30 per kg last year, now it costs Rs 40 per kg in wholesale, Sona Mussoorie was Rs 40 last year and is now Rs 54.”

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