FCI earns Rs 9,310 cr by selling 5.8 MT of wheat under OMSS

Tags: FCI, Agriculture
State-owned Food Corporation of India (FCI) has earned Rs 9,310 crore by selling wheat under the open market sale scheme (OMSS) in 2013-14.

The Corporation, however, was able to sell only 5.8 million tonnes (MT) of wheat under this scheme at the end of 2013-14 against the target of 8.5 MT, sources said.

The average price realised from the sale was Rs 1,602.85 per quintal, they added.

The reserve price under OMSS was fixed at Rs 1,500 per quintal plus applicable taxes and other levies in case of Punjab, Haryana and Chandigarh.

While, in respect of other states the freight cost from Ludhiana to the concerned state was added to Rs 1,500 for the purpose of fixing the reserve price.

The maximum quantity of wheat sale was in Haryana at of 1.13 MT, followed by Punjab with 7.63 lakh tonnes, Delhi with 7.6 lakh tonnes and Haryana with 6.24 lakh tonnes.

The amount realised from the sale of wheat could be of some help to the FCI at a time when it is facing liquidity crunch and has food subsidy dues of about Rs 50,000 crore.

The government pays bulk of food subsidy to FCI as it is the nodal agency with the primary task of purchasing and ensuring effective prices to farmers. It also ensures required supply of food grains at cheaper rates throughout the country.

In September last year, the government had allowed FCI to sell wheat stocks under OMSS it has excess of stock of the grain.

EDITORIAL OF THE DAY

  • Reservations, along with economic subsidies, must go to get India moving

    A young man, in his early twenties, starts an agitation demanding reservation for the community he represents.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

Urs Schoettli

The China story isn’t over yet

China’s financial markets are currently in the eye of a ...

Anuja Sharma

Love yourself to love others

“There are two basic motivating forces: fear and love. When ...

Gautam Gupta

It's a 'blog eat blog' world out there

Let me tell you, fashion journalism has truly taken the ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture