Cabinet approves release of pulses to States with discounted rates

Cabinet Committee on Economic Affairs (CCEA) has approved release of pulses to States/UTs at discounted rate to be utilized for various Welfare Schemes from stock of pulses procured under Price Support Schemes (PSS). The meeting was chaired by Prime Minister Narendra Modi.

Key Facts

Under this approved Scheme, States/UT Governments will be offered to lift 34.88 lakh MT of pulses at discounted rate over prevailing wholesale market price of sourcing state on First come first serve basis. This will be one-time dispensation for 1 year period or complete disposal of 34.88 lakh MT of pulses stock whichever is earlier. Government will spend Rs. 5,237 crore for implementation of this Scheme. The decision will enable the States/UTs to use pulses in various Welfare Schemes like Public Distribution Scheme (PDS), Mid-Day Meal Scheme, Integrated Child Development Programmes (ICDP) etc etc. besides making available warehouses, which may be required in coming Kharif season for storage of commodities procured under PPS.

Background

Pulses production was witnessed all time high during the last 2 years in the country. Due to bumper production, Central Government also has made record procurement of pulses (45.43 lakh MT) during Kharif 2017 and Rabi 2018 marketing season under Price Support Scheme. This was coupled with increase in Minimum Support Price (MSP) will require additional procurement under Price Support Scheme.

Month: Current Affairs - August, 2018