New Delhi (PTI): Enthused by record rice purchases in 2007-08 season, the Food Ministry may soon allocate two million tonnes of rice for strategic reserve, created to meet exigencies.

The higher procurement of rice so far in the ongoing 2008-09 marketing season, expected to cross 10 million tonnes in a day or two, would also help in creating the strategic reserve of rice, if it decides so.

"We hope it will be done soon. Very soon we will take a decision," a top Food Ministry official said when asked about the time by which strategic reserve for rice would be created.

The Centre had decided to create five million tonnes of strategic reserve comprising three million tonnes for wheat and two million tonnes of rice. The foodgrains reserve would be over and above buffer stock and is meant for emergencies like droughts and floods.

However, the government was able to build the reserve in case of wheat only out of 2007-08 crop and it could not do so in case of rice.

In 2007-08 season, rice procurement was at a record 285.02 lakh tonnes against the target of 276 lakh tonnes. Initially, there were concerns that government might not be able to achieve its target.

However, in order to boost procurement, the government started paying the higher MSP, announced for 2008-09 season beginning October, in last season itself (from June 2008).

The Centre had increased the minimum support price (MSP) of rice to Rs 850 per quintal for common variety and Rs 880 for grade 'A' variety for 2008-09 marketing season.

Meanwhile, the rice procurement this year has increased to 95.66 lakh tonnes as on November 9 compared to 81.65 lakh tonnes in the year-ago period.

According to official data, the Centre has been able to procure maximum rice from Punjab this year which stood at 78.74 lakh tonnes till November 9, followed by 12.09 lakh tonnes from Haryana.

Tamil Nadu and Uttar Pradesh are two other major states, where the Centre is able to but over a lakh tonnes of rice each in the on-going procurement season.

The government estimates of higher production of rice this year is reflected in the paddy arrival in the mandis of various states.

Till date, the arrival of paddy stands at 162.12 lakh tonnes out which the Centre has bought 140.94 lakh tonnes, about 87 per cent.