Telangana: Old rice stocks disappearing from markets for what?

Hyderabad: Apparently, going on with the increased cost of production of the rice due to the rise in power tariff, transportation charges and other operational costs, the rice millers have been demanding that the government increase the price of rice planned to be supplied at Rythu Bazaars to at least Rs 35 a kg.

It is evident that when rice prices crossed the Rs 55 mark last year, the then Congress Party government led by Kiran Kumar Reddy had channelized counters at Rythu Bazaars to sell rice for Rs 30. Nevertheless, the collection was not less than Rs 35 by the traders then also.

Going on with the meteorological predictions that a drought like situation may crop up in the country this year, the traders have allegedly stocked up the old rice envisaging an increased price and demand for the same. They are regulating the supply of old rice stocks to open the market with an aim of making money once the price soars. This has led to short supplies in the retail market leading to escalation in prices.

It is learnt that good quality of rice was available in the market till April end for Rs 40 or 45 per kg. Nevertheless, within a month the prices have been raised more by 10-15 rupees per each kg. Also, due to the failed rain falls, there has been no sowing of paddy, even on this date at many villages. All these reasons have collectively brought down the supplies of old rice into the market. All these factors would make the rice price go up to Rs 60 per kg, as envisaged by many traders.

From the other end, the Telangana government has been insisting for the sale of rice in Rythu Bazars at Rs 30 per kg. The same was conveyed by the civil supplies minister Eetela Rajendar. The talks have not been fruitful and may take some time to arrive at an amicable solution.