Nafed plans bulk purchase of mustard to boost price

Nafed plans bulk purchase of mustard to boost price
PTI
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First Published: Thu, Feb 15 2007. 10 38 PM IST
Updated: Thu, Feb 15 2007. 10 38 PM IST
New Delhi:  The National Agricultural Cooperative Marketing Federation of India Ltd (Nafed) is likely to procure about 20 lakh tonnes of mustard at Rs1,715 per quintal under the price support scheme (PSS) in the current rabi season, as the market price has gone down below the minimum support price, said a Nafed official.
The current market price of mustard is ruling at Rs1,550-1,650 per quintal.
The nodal agency for procurement of oilseeds and pulses is also preparing to put in place a mechanism for effective procurement of mustard to prevent distress sales.
“We will put all necessary arrangements in position well before the procurement of mustard seeds begins,” Nafed managing director Alok Ranjan said after the inter-state conference on price support of rabi crops held on Wednesday.
Meanwhile, Nafed has stopped sale of mustard seeds procured during the last kharif season as the rabi crops have started arriving at various markets. Currently, the agency has a stock of 8.3 lakh tonnes of mustard seeds, an official said.
Nafed also plans to request the ministry of agriculture to lend it Rs1,000 crore to make timely payments to farmers.
Vineet Verma, Agriculture Ministry’s representative at the conference, assured that there would not be any problem in making available the funds in time to Nafed.
Meanwhile, the second advance estimate of the government has put mustard output at 75 lakh tonnes against 81 lakh tonnes produced last year.
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First Published: Thu, Feb 15 2007. 10 38 PM IST
More Topics: Money Matters | Commodities |