India plans to provide wheat and rice as “gifts” from its overflowing granaries to Yemen, Ethiopia, Syria and Afghanistan through the United Nations’ World Food Program (WFP), two officials familiar with the matter said. Told News18. Officials further said that the gesture would not only further India’s diplomatic outreach, but the proposed plan would also save on storage and transportation costs of additional food grains in state-owned granaries.
These four countries plan to export food grains from the central pool stock, which is managed by the Food Corporation of India (FCI). FCI procures about 35% of the wheat produced in India for the central pool stock.
The central sector scheme, which has been in the works for over a year, will be sponsored by the Department of Food and Public Distribution under the Ministry of Consumer Affairs, Food and Public Distribution, News18 has learned.
According to officials, the WFP had initially sought an initial supply of two lakh metric tonnes of food grains from India, including 1.9 lakh metric tonnes of wheat and 0.1 lakh metric tonnes of rice, as an urgent requirement to vulnerable populations in need. We do. Country.
A senior official said that the WFP had later said that it would like to buy more food grains from India at a later stage and thus the scheme would be open-ended.
In February, India signed an agreement with the WFP to distribute 50,000 metric tonnes of wheat, which it had given to Afghanistan, as a humanitarian aid measure. Later in the same month, the first convoy of 50 trucks carrying 2,500 metric tons out of a total 10,000 metric tons of wheat reached Afghanistan for distribution among the population by the WFP.
According to official data, in the 2020-21 crop year, India recorded wheat production of 1,092 lakh metric tonnes (LMT), which is 17% higher than the average of the previous 10 years. This had added to the surplus stock in the country.
The surplus is calculated taking into account the total requirement of food grains under the National Food Security Act (NFSA) and other welfare schemes which is around 600 LMT.
Government officials said the export of only the initial 2 LMT of food grains would not only help the government to clear the surplus stock available in the central pool stock of FCI, but also save over Rs 300 crore on acquisition, storage and other costs.
According to FCI data, the closing stock position of wheat in the central pool as on November 30 last year was 378.53 LMT, and for rice, it was 213.03 LMT, even as the total stock requirement of 214.10 LMT as on January 1. 2022.
Highlighting this means there was an estimated surplus stock of 377.46 LMT, an official said, adding that the plan to export part of this surplus stock was aimed at maintaining domestic wheat prices, helping farmers to get better prices. Milli, FCI was freed from warehousing issues and helped to reduce costs and generate employment. Occasion.
“But more importantly, this food gift will also contribute to India’s diplomatic outreach and enhance its soft power,” the official said.
Ashok Gulati, agricultural economist and former chairman of the Commission for Agricultural Costs and Prices, told News18 that this would be a good move as India owes it to many needy countries as a responsibility. This move, he said, will not only help it get rid of excess stock in its warehouses, but will help reduce global prices and help India emerge as a compassionate country.
Gulati said, “India should help countries like Sri Lanka and other needy neighboring and African countries by providing rice and wheat, the way it got help from the United States under Public Law 480 in 1960,” Gulati said. .
‘PL 480’ was a United States program for the distribution of foreign food aid whereby additional goods could be shipped to the Allies on concessional or grant terms. Under this he can also donate stock to religious and voluntary organizations for various humanitarian programs.
“By providing some of the stock to these countries free of cost or at a discounted price, India will be elevated in stature, thus making it an intelligent, globally responsible power,” he said.
He further pointed out that countries like Sri Lanka need rice at the moment while many other African countries will need wheat.
“When food is scarce, there are social riots. With a three-fold buffer on food grains, India should give part of the additional buffer stock to needy countries in Africa or Asia. The bulk of the shares can still be sold in the global markets to cool the prices and India can make a fair profit from it,” he said.
Country wise wheat, rice requirement
It is learned that the selection and coverage of the target population will be done by the WFP as is being done in the case of Afghanistan.
A second official said the estimated quantity of wheat required for the four countries is 1,90,000 metric tonnes.
Of this, Yemen and Afghanistan require 60,000 metric tons, Ethiopia and Syria require 40,000 metric tons and 30,000 metric tons. Syria also needs 10,000 metric tonnes of rice.
Yemen is said to have the highest wheat shortage at 2,31,000 metric tons, while Syria has the least at 65,000 metric tons. Syria also has an estimated 28,000 metric tonnes of rice shortage.
According to the second official cited above, these figures were provided by WFP.
The plan also states that WFP will procure 95,000 or 50% of wheat from FCI for Rs 240 crore and 50% of the required quantity of rice or 5,000 metric tonnes from FCI for Rs 90 crore, which includes cost. Purchasing and Transportation.
WFP is an apex humanitarian organization that provides food assistance to vulnerable global populations in emergencies and works in areas such as nutrition, building sustainable livelihoods, among others, around the world, including conflict and disaster-prone countries.
omatic outreach
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