ASHOK B SHARMA
NEW DELHI: The Union government is planning to review the bans imposed on cotton and sugar exports. On the issue of allowing foreign direct investments (FDIs) in the multi-brand retail chain, it would discuss with the state governments.
“A panel under the chairmanship of the Union finance minister, Pranab Mukherjee will meet in December and deliberate on the possibility of lifting of ban on cotton exports”, said the agriculture, food and consumer affairs minister, Sharad Pawar at the sidelines of the Economic Editors Conference-2010 here on Wednesday.
Prior to the ban already 5.5 million tonne of cotton have been exported. Recently during the visit of the Bangladesh commerce minister, Muhammad Faruk Khan, India agreed to export 1.1 million tonne cotton to Bangladesh.
Pawar said that the panel headed by the finance minister will consists of textile and agriculture ministers also and will review the demand and availability situation in the country before taking a decision.
He said that the global prices of sugar will remain firm till the Brazilian sugar enters the market. After the festive Divali, the government will review the demand and availability of sugar before taking a decision to lift the ban on its exports.
According to Pawar, the annual need for distributing grains through the public distribution system (PDS) to 9.70 crore members of the poor families and 8.90 crore members of the general category families would be 62.1 million tonne. Besides there would be the need to dole out grains for various welfare schemes, assistance to other countries and for maintaining buffer stock. “The entire need is being worked out,” he said.
The beneficiaries of PDS would be given smart cards. The smart card pilot project has been successfully tested in Haryana and is ready to be rolled out nationwide. The Unique Identification Authority would be asked to dovetail the beneficiaries.
On the issue of allowing FDIs in the multi-brand retail chain, he said that the department of consumer affairs in the food and consumer affairs ministry headed by him was assessing the situation.
“I need to discuss the issue with the state governments. FDIs in multi-brand retail will help the farmers and consumers but it may adversely affect the livelihood of small retailers,” he said.
Government has planned to create 150 lakh tonne storage space across the country for which tenders have already been floated. The Union Cabinet has cleared the new Seeds Bill and this would be introduced in the ensuing session of the Parliament. The provisions of the Bill will prove an effective check on spurious and sub-standard seeds being sold in the market.
According to Pawar, the Rashtriya Krishi Vikas Yojana (RKVY) launched in August 2007 and the National Food Security Mission (NFSM) launched in 2007-08 have helped in increasing crop productivity. The National Advisory Council is now deliberating on the provisions of the Food Security Bill.