Govt to import rice to bolster buffer stock

The Commerce Minister has said that the government is in talks with the governments of Thailand and Vietnam to import rice into the country. Ministers believe that there could be some shortfall in the buffer stocks owing to the poor kharif crops and that is why rice import is necessary, reports CNBC-TV18's Abhijit Neogy.

The Commerce Minister Anand Sharma has said that the government to government talks are on right now between the Indian government and the governments of Thailand and Vietnam for procurement of rice. We understand that the rice situation per se in this country is comfortable.

But there has been some shortfall in rice production on account of the kharif crop and that shortfall is really reflected more in the buffer stock and the strategic reserve which the government had built up last year and this that the government wants to ensure that the rice stocks are very comfortable.

We do understand that the State Trading Corporation (STC) has contracted 30,000 tonnes of rice just yesterday. This is the agency which will in the days to come perhaps contract much more. It is quite understandable that the government doesn't want to talk about a particular figure in terms of the quantum of imports because that probably would drive up the rice import price upwards in the global markets, something which the government wants to obviate. We understand that the GoM on food will meet on the November 20 and will take a final call on the issue.