The Centre has decided to sell an additional 50 lakh metric tonnes (LMT) of wheat and 25 LMT of rice through the Open Market Sales Scheme (OMSS) to control the rising prices of foodgrains. The move comes after the prices of wheat and rice have increased by 6.77% and 10.63% in the last one year, respectively.
The Centre will also bring down the reserve price of rice by ₹200 per quintal to ₹2,900 per quintal. The cost for this reduction will be borne from the Price Stabilisation Fund under the Department of Consumer Affairs.
The new limit is over and above the 15 LMT of wheat and 5 LMT of rice being sold through the OMSS. About 7-8 lakh tonnes of wheat was auctioned under the OMSS so far, while rice sale was negligible.
The Centre hopes that these measures will not only improve the availability of foodgrains in the market but also help cool down the prices and control food inflation.
What does this mean for consumers?
The additional sale of wheat and rice through the OMSS will help to increase the availability of foodgrains in the market and put downward pressure on prices. This is good news for consumers, who have been facing rising food prices in recent months.
The reduction in the reserve price of rice will also help to make it more affordable for consumers. This is especially important for low-income households, who rely on rice as a staple food.
Overall, the Centre’s decision to sell additional wheat and rice through the OMSS is a positive step towards controlling food inflation and providing relief to consumers.
The Centre will continue to monitor the foodgrains market and take further measures if necessary. It is also considering the possibility of reducing wheat import duty to further cool down the prices.
The government is committed to ensuring that food is available to all at affordable prices. These measures are a step in the right direction and will help to achieve this goal.