TCCI urges immediate FCI market intervention to prevent rise in rice prices
The Trivandrum Chamber of Commerce and Industry (TCCI) has expressed serious concern over the sharp increase in rice prices and the possibility of further escalation
The Trivandrum Chamber of Commerce and Industry (TCCI) has expressed serious concern over the sharp increase in rice prices and the possibility of further escalation in prices in the coming weeks due to the prevailing drought-like conditions in the major rice-producing States of Karnataka, Andhra Pradesh and Tamil Nadu. In an official statement here, TCCI said that according to reports, reduced water levels in reservoirs and uncertainty regarding the current paddy cultivation season have adversely affected crop prospects in these States.
This has created uncertainty in the rice market, resulting in increased prices of paddy and rice. There is also a possibility of speculative stocking by sections of traders in rice-producing States, which could further tighten supplies and lead to an artificial increase in prices, TCCI said. TCCI has now submitted detailed representations to the Chairman and Managing Director, Food Corporation of India (FCI), New Delhi; the zonal manager, FCI south zxone, Chennai and the Minister for Food and Civil Supplies, Kerala, requesting immediate market intervention.
It has also requested the release of adequate quantities of rice under the open market sale scheme (domestic) by way of e-auctions to eligible private buyers. S.N. Raghuchandran Nair, president of TCCI, said that timely intervention by the FCI is essential
to ensure the adequate market availability of rice and to prevent an escalation in rice prices. He added that the early release of rice stocks under OMSS(D) will benefit both the business community and consumers by maintaining stability in the market.
The BriefWire