Two-tier transport subsidy to overcome low overseas price of sugar

New Delhi, Apr 30 (UNI) The Government has introduced a two-tier transport subsidy to overcome the low overseas price position of sugar, Agriculture and Consumer Affairs Minister Sharad Pawar informed the Lok Sabha today.

Replying during question hour, Mr Pawar said of the two-tier transport subsidy, one is for the coastal states with Rs 1350 per tonne and Rs 1450 per tonne for Bihar and Uttar Pradesh under Open General License (OGL).

The production of sugar in the country during 2006-07 was estimated at around 250 lakh tonnes but adding previous stocks the overall position became 294 lakh tonne. After meeting the three months' buffer requirement of 48 lt, the surplus stock of sugar comes to around 56 lt. Despite this, the export situation is not attractive in view of low overseas rates, Mr Pawar said.

Mr Pawar admitted that there had been a shortage in the production of pulses and said the Government had put a ban on the exports of pulses since June 2006.

Three trading companies have managed to export pulses using forged papers and documents and their licenses had been cancelled and a CBI inquiry initiated to establish the facts. Once the charges were proved a criminal proceedings will be initiated against all of them.

Responding to question on the decline in the wheat and rice quota under ration, Mr Pawar said there is no decline under the Below Poverty Line category but some cut is being introduced under the Above Poverty Line (APL) category.

Mr Pawar admitted that despite a hefty hike of Rs 150 per quintal in the procurement price of wheat, the Government agencies procurement is not satisfactory compared to the previous year and he blamed this to the misinformation campaign launched against the Government agencies.

He said though the production of wheat is estimated at around 73 lakh tonnes this year's procurement till now is lower by 6 to 7 lt, which is a very serious matter.

He said the Government is fully aware of this factor and for that a contingency plan to import wheat would very soon be in place to make the nation secure food, he added.

UNI