The Hindu : Karnataka News : Red Gram Board to intervene in market

Online edition of India's National Newspaper
Tuesday, Dec 28, 2004

Karnataka

Karnataka

Red Gram Board to intervene in market

By Our Special Correspondent

GULBARGA, DEC. 27. The Red Gram Development Board has decided to intervene in the market from December 31 to arrest the crash in the prices of red gram in the wholesale market by offering a price of Rs. 1,740 a quintal for first grade red gram and Rs. 1,690 for the second grade.

The Deputy Commissioner, Anjum Parvez, who is also the member of the reconstituted board, told The Hindu that the emergency meeting of the board on Monday reviewed the price situation of red gram in the wholesale market and decided to intervene in the market immediately to stop the slide in the prices of the produce.

Procurement centres

He said that the market intervention will be through the Karnataka State Cooperative Marketing Federation, and 10 procurement centres in Gulbarga district and four in Bidar district will be opened.

In Gulbarga district, the procurement centres will be in Gulbarga, Chitapur, Jewargi, Aland, Chincholi, Sedam, Yadgir, and Afzalpur taluks and at Kodla and Kalgi to cope up with the demand from the farmers.

The board also decided not to establish the procurement centres at Shahapur and Surpur since the area under red gram was very minimum in these two taluks.

Mr. Parvez said that the procurement centres will also be established at Humnabad, Bidar, Bhalki and Aurad taluks in Bidar district.

To a question, he said that the board has decided to ask the Government to release a sum of Rs. 4.5 crores to purchase the red gram from the farmers.

At present, the board has around Rs. 4.5 crores in its reserve and this fund will be used immediately to purchase red gram from December 31.

Initial purchase

He said that the board has also decided to purchase at least 50,000 quintals from the farmers initially and for this the board will require Rs. 8.5 crores. If the need arises the board will purchase more quantity of red gram from the farmers.

MSP

The minimum support price (MSP) fixed by the Red Gram Development Board now is much more than the MSP of Rs. 1,320 announced by the Union Government and Rs. 1,600 announced by the State Government.

The prices of red gram hovered around Rs. 1,600 a quintal in the wholesale market now and there has been a large arrival of fresh stocks in the market as the harvest of the crop is in full swing throughout Gulbarga and Bidar districts.

Printer friendly page
Send this article to Friends by E-Mail

Karnataka