Sharad Pawar defends hike in petrol, diesel prices

Washington, June 8 : Union Agriculture Minister Sharad Pawar defended the government decision not to roll back the hike in prices of petrol and diesel which has sparked widespread agitation in the country.

Addressing a press conference here at the Indian Embassy after his meeting with US Agriculture Secretary Mike Johanns, Mr Pawar said the decision was taken on certain considerations.

However, he agreed that the hike would affect agriculture sector because of its high dependence on diesel, ''an important factor in the farming community.'' ''Ultimately the hike in fuel prices will reflect on the consumer and it will also reflect on the farming community. But then everybody has to make some sacrifices,'' he added.

Asked about wheat imports, the Minister said the major reason for the import of 3.5 million wheat from abroad was due to shortage in buffer stocks. There was no problem with production of wheat, but procurement had fallen short and hence the need for buffer stocks, he explained.

''If there was a shortfall in buffer stocks it would be difficult to tide over any future crisis. To avoid any such crisis we have to build a buffer stock. That is why we decided to import wheat,'' Mr Pawar added.

He said wheat prices in most parts of the country were under control with the government releasing additional stocks into the open market, but prices in southern India remained high.

The agriculture ministry has reworked the import guidelines for wheat relaxing norms so that more countries can participate in the tender process, Mr Pawar said.

The Agriculture ministry has taken steps to ensure that farmers did not resort to distress sales and hence entered the market to import the grain. The country needs 3.5 million tonnes of wheat and it has already imported 1.2 million and is awaiting the rest of the imports.

Replying to another question, the Minister said Indian mangoes would soon be coming to the US. He said he raised the issue during his talks with Mr Johanns.

They have yet to work out some details on importing the fruit, but Mr Pawar expressed the confidence that by the next season the mangoes would be exported to the American markets.

UNI

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