• REMOVAL OF CONTROLS ON FOODGRAINS
• ISSUE OF LEVY ORDERS FOR PROCUREMENT OF LEVY RICE

REMOVAL OF CONTROLS ON FOODGRAINS

A Central Order titled ‘Removal of (Licensing requirements, Stock limits and Movement restrictions) on Specified Foodstuffs Order, 2002, has been issued by Government under the Essential Commodities Act, vide GSR 104 (E) dated 15.2.2002, with an amendment dated 16.6.2003, according to which amendment any dealer can freely buy, stock, sell, transport, distribute, dispose, acquire, use or consume any quantity of wheat, paddy/rice, coarsegrains, sugar, edible oilseeds and edible oils, pulses, gur, wheat products and hydrogenated vegetable oil or vanaspati and shall not require any license or permit therefor. Issue of any control order by the States under the delegated powers for regulating by licenses, permits or otherwise, the storage, transport, distribution, etc of the specified commodities would henceforth require the prior concurrence of the Central Government.

ISSUE OF LEVY ORDERS FOR PROCUREMENT OF LEVY RICE

Rice is procured for the Central Pool under statutory levy system. The State Governments/UT Administrations issue Levy Orders in exercise of the powers delegated to them under the Essential Commodities Act, 1955. The Levy Orders are issued by the State Government after obtaining the prior concurrence of Central Government. The percentage of Levy varies from State to State as indicated in the statement at Annexure. Taking into account the overall food situation, States/UTs. are advised either to increase or decrease the levy percentage or to strictly implement the Levy Orders. Keeping in view local conditions like excess production, storage constraints with FCI, comfortable open market availability of rice at low prices etc., requests are received from the State Governments/UT Administrations either to increase or decrease the levy or to scrap the system for a specified period. The Government considers such requests and concurrence is given wherever necessary for amendment of the Levy Orders. A updated statement showing the current percentage of levy in different states is enclosed at Annexure.

The Ministry of Textiles has issued a subsequent Notification on 28.9.2004 to the effect that 100% of foodgrains and 90% of sugar would be packed in jute packaging material manufactured in India from raw jute, produced in India, during the Jute year 2004-2005 , i.e., upto 30.6.2005.

ANNEXURE

STATEMENT SHOWING THE PERCENTAGE OF STATUTORY LEVY IN VARIOUS STATES FOR COLLECTION OF RICE FROM THE MILLERS/DEALERS ON DELIVERY OF RICE DURING 2004-2005 KHARIF MARKETING SEASON

* - State Governments of Bihar, Gujarat, Karnataka, Tamil Nadu Delhi and Pondicherry and Chandigarh Administration have issued Levy Control Orders, but these have not been operationalised so far during the current season.