Press Information Bureau
Government of India
Ministry of Consumer Affairs, Food & Public Distribution
28-August-2012 14:12 IST
MSP for Procurement of Coarse Grains
As per the existing procurement policy, the Central Government extends price support to paddy and wheat through the Food Corporation of India (FCI) and State Agencies. Wheat and paddy conforming to the prescribed specifications offered for sale at specified centres are bought by the public procurement agencies at the Minimum Support Price (MSP). The farmers have the option to sell their produce to FCI/State Agencies at the MSP or in the open market as is advantageous to them. This information was given by Prof. K.V. Thomas, Minister for Consumer Affairs Food and Public Distribution System in a written reply in Lok Sabha today.

The Minister said that procurement of coarse grains including maize is being undertaken by State Governments and their agencies under MSP operations. The State Governments retain the quantity procured to the extent of their requirement for the Targeted Public Distribution System (TPDS) and the balance is disposed of by the Food Corporation of India (FCI) through tender.