India / Free food programme cannot be prolonged for much longer since food stocks are dwindling

Zoom News : Oct 20, 2022, 11:17 PM
New Delhi : Whether the scheme of free ration being run by the Government of India will continue even after December is a big question. In October this year, the government has extended this scheme for the next three months till December. After the decision of the government, traders now say that the government cannot pursue this scheme for a long time because the load on the country's food stock is increasing and the stock is decreasing. The wheat stock with the government has reached 22.7 million tonnes on October 1. Whereas at the same time a year ago, India had a stock of 46.9 million tonnes of wheat.

However, government officials say the stock is sufficient. Limited supply has pushed wheat prices to record highs. Bringing wheat from outside due to Ukraine war will also be very costly and difficult for the government. In such a situation, the only way left with the government is to end the scheme of free ration after December.

Palm oil production affected due to rain

BV Mehta, executive director of the Solvent Extractors Association, said that edible oil prices have also seen a jump recently as heavy rains in major producing countries have disrupted palm oil production, while the supply of sunflower oil from the Black Sea region But the concern is growing.

The stock of milk producers is also decreasing

Meanwhile, major milk producers are raising prices as stocks with milk products are depleting due to strong exports of milk powder and butter, said BB Thombare, chairman, dairy company Natural Sugar and Allied Industries. "Milk production is increasing but prices are unlikely to come down due to low stock of milk products," he said.

The scheme was to end on 30 September

The scheme of free ration was to end on 30 September. Earlier, the government took the decision to extend the scheme for three months i.e. till the end of this year. According to the Finance Ministry, taking forward the scheme of free ration for three months will put a burden of Rs 45,000 crore on the exchequer.

The scheme was started in the Corona period

Assembly elections are also due in Gujarat and Himachal in the next three months this year. In such a situation, the decision to take the scheme forward is also being linked to the elections. During the Corona period, this scheme was announced by the central government in the name of PM Garib Kalyan Anna Yojana. Under this, 5 kg of free ration is given per person every month.

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