The Cabinet Committee on Economic Affairs (CCEA) on Wednesday approved creation of buffer stock of pulses to deal with wide fluctuation in prices of pulses and check food inflation.
The buffer stock will be in place this fiscal itself. As per decision, about 50 thousand tonnes of pulses will be procured from the kharif crop and one lakh tonne from the arrivals of current rabi crop.
The Procurement will, however, be done at market prices through Food Corporation of India, NAFED and Small Farmers' Agribusiness Consortium. The procurement will be done at market price above Minimum Support Price (MSP) out of the Price Stabilisation Fund.
The CCEA also decided to import pulses depending on the requirement through Ministry of Commerce. If the prices fall below MSP, procurement will be made at MSP under Price Support Scheme of Department of Agriculture.
The Ministry of Agriculture has identified lack of availability of new varieties of seeds as an important hindrance in increasing productivity of pulses.
