Lok Sabha Question No. 1744 (UNSTARRED), answered on 2021-12-08
Subject: Increase in Oil and Pulses Price
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: Dharambir Singh

## GOVERNMENT OF INDIA

## MINISTRY  OF CONSUMER  AFFAIRS' FOOD & PUBLIG DISTRIBUTION DEPARTMENT OF FOOD A]ID PUBLTC DISTRIBUTION

## LOK SABHA UNSTARRED QUESTION NO.1744 TO BE ANSWERED  O}{ 8TH DECEMBER,2O2l

## INCREASE IN OIL AND PULSES PRICE

## I744. SHRI DHARAMBIR SINGH:

Will the Minister of GONSUIIER  AFFAIRS' FOOD AND PUBLIG DlsTRIBuTtOil srsf;-ftIr erri,  ur<-rr gtr grffia; fut{sr d'+ be pleased to state:

- (a)  whether it is a fact that there is a shafp ancrease  in the prices of edibte oit and pulses over the last three yearsl
- (b) if so, the details thereof;
- (c)whetheritisalsoafactthattheeconomyiswitnessingasharp stowdown and houses are combating  reduced salaries,  ioblessness  and uncertainty  against the backdrop of second wave of covlD-lg  pandemic; and
- (d)  if so, the details thereof and the steps the Government  is taking to control the prices of essential items?

## ANSWER

MI]{ISTER OF STATE FOR MINISTRY  OF RURAL DEVELOPMENT AND coNsuMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION (sADHVl NIRANJAil JYOTI)

- (a)&(b):ThoAtllndiaave]agoretailpriceofgdibleoilsandpulsesovGrthe last thre6 yeaB Is Annexed.
- (c):EconomtestheworldoverhavewitnessedslowdownduetoGOVID'19 pandemlc. However,  the Govemment  has been responslve  to the sltuatlon  wlth seyeral relief  packages due to whlch tndla has shown signs of rapld recovery growth.

(d):  High inflation  affects  the consumer,  especially  the weak and vulnerable section of society. The Government  is implementing  Price Stabilization Fund (PSF) to help moderate the volatility in prices of agri.horticultural commodities lake pulses and onaon by releasing stocks from the buffer. Government  takes various  measures from time to time to augment domestic availabllaty and stabitize  prices of essentaal  food commodities. These stGps,  intehalia, Include releases from the buffer to cool down prices, imposition of stock limits' monitoring of stocks declared by entities to prevent hoarding as also requisite changes in trade policy instruments like rationalization  of import duty, changes in import quota, restrictions  on exports of the commodity  etc.

During April to November 2O2O' under the Pradhan 'Mantri Gadb Kalyan Anna Yolana  (PMGKAY)' Govemment has provided one kg pulses out of the buffer stock, per household  per month, free of cost, to '19.4 crore beneficlary Households  as per the National Food Security Act, 20{3 (NFSA). The pulses  were distributed  under the Pradhan Mantri Garib Kalyan Anna YoIana (PMGKAY)' inltially  for a  period  of 3 months- April to June, 2O2O (PMGKAY'I) and Iater extended for 5 month from Juty to November 2O2O (PMGKAY'II)  to ameliorate  the hardships  faced by the poor due to livelihood disruption caused by COVID'{9.

Distribution of additional  free-of-cost  foodgrains (Rice/Wheat)  has been ensured to about 80 Grore National Food Securi$r Act (NFSA) beneflclaries  at the rale of 5 Kg per person. per month under the PM Gatib Kalyan Anna Yoiana (PMGXAY), over and above the regutar monthly NFSA foodgrafns. Phase-!  and Phase.tl of PIUGKAY was operational from April to Juner 2020 and July to November, 2020 respectively. Phase.lll of the scheme was operational from May to June, 2021. Phase.lV of the scheme was operational from July to Novembert 2021, Government has further approved the extension ofthe Pradhan Mantd Garib Kalyan Anna Yoiana  (PMGKAY-Phase  V) for a period of 4 months i.e. December 2021 to Match 2O22.

The efforts being made by Govemment to bring down the prices of foodgrains ln the domestic  market are gaven below and they have shown positive results.

- o FGI has beon allowed to undertake sale of lvheat and rice in the open market through OIHSS(D) throughout  the year upto 3l't.Marchr 2O22 ot lill
- further orders, whichever is later as per extent of Policy.
- . The Reserve price for all categories of wheat has been kept unlform throughout  the country without adding any further freight In order to scale up the sales and atso to facllltate buyers to lift stocks from any place at ease without their dependence  on the railways to move their stocks to their deslred location. :
- o FGI sells stocks of wheat and rice in excess of stocklng norms and strategic teserye in Central Pool in the open market at pre'determined prices through Open Market Sale Scheme(Domestic)[9MSS(D)! to enhance supply ln the lean season' especially  in the deficit regions and thereby moderate the prices ln the open market.
- . ln  yiew  of resurgenc6 of GovtD-i9  situation and to ease process of sale for the state Govts/uTs,  FGt witl give option to state Govts/UTs  to lift stocks wath or without e-auctlon at reserve prlce.

ln order to improve the domestic  avallabltl$l and to keep prices under controlt the Govemment  has been rationalizing the duty structuro on edible olls durlng 2021-22 to reduce the  prlee burden of common man. In the latest notllication daleal 14.'lO.2O2{  the followlng  measures  have been taken:

- !n a bld to control thc continuous rlse in the cooklng oit prices slnce past ono yearr the Gentral Govemment  has cut the bastc duQr on Crudo Palm Oit, Crude  Soyabean OII and Crude  Eunflower Oil from 2.5% to Nll.
- The Agri-cess  on these Oils has been brought down from z0"h to 7  '5o/" lot Grude Patm Oil and 5olo for Crude Soyabean Oil and Grude Sunflower OiL
- Gonsequent  upon the above reductlonr the total duQl is 7.5o/o for Grude Palm Ol! and 57o for Crude Soyabean Oil and Crude Sunflower OII'
- The basic duty on RBD Patmoleln OIl, Refined Soyabean and Refined Sunflower Oil has beon slashed lo 17.5o/o  from the ctrrent 32'5"/o'
- BsfOtC rcduction, the agriculturat  lnfrastructure  ce33 on alt fonns of crude Edible  oits was 2oo/o. This has been reduced to 7.5o/o for crude  palm oilr 57o each for crude soyabean  oil and cruda sunflower  oll'
- To controt  prices  of edlble oits, futures  trading ln mustard oll on NCDEX has been suspended  and stock timlts have been amposed'
- The Dcpartment  ot Food and Pubtlc Distribution  has Imposed stock limits on Edable Oits and Oitseeds  for a  period up to 3{st arch' 2O22' The Remoya! of  Llc.nslng Requirements, Stock Lim'ts and iiovement Restrlcflons  on spectfied Foodstuffs (Amendment)  ordet,2021  has been issu.d w.e'f. 8o' Octoberr  2O21.

ANNEXURE REFERRED TO tN REPLY TO PARTS (a)&(b) OF THE UNSTARRED  QUESTION  }IO.174/' FOR ANSWER ON O8.{2.2O2{ IN THE LOK SABHA.

All lndia Yearly Retail Average  Prices of Pulses and Edible Oils

| Pulses and Edible Oils   | Retail Prices (April- March) (Rs./Kg.)   | Retail Prices (April- March) (Rs./Kg.)   | Retail Prices (April- March) (Rs./Kg.)   | Retail Prices (April- March) (Rs./Kg.)   | Variation (%)   | Variation (%)   | Variation (%)   |
|--------------------------|------------------------------------------|------------------------------------------|------------------------------------------|------------------------------------------|-----------------|-----------------|-----------------|
| Pulses and Edible Oils   | 2017-18                                  | 2018-19                                  | 20't9-20                                 | 2020-21                                  | 2018-'19        | 2019-20         | 2020-21         |
| Gram Dal                 | 80.00                                    | 65.11                                    | 65.92                                    | 70.42                                    | -18.62          | 1.25            | 6.82            |
| Tur/Arhar Dal            | 78.66                                    | 71.17                                    | 84.90                                    | 99.57                                    | -9.52           | 19.29           | 17.28           |
| Urad Dal                 | 85.33                                    | 70.23                                    | 83.77                                    | '104.49                                  | -17.69          | 't9.28          | 24.73           |
| Moong Dal                | 76.24                                    | 74.03                                    | 86.27                                    | 106.01                                   | -2.89           | 16.53           | 22.89           |
| Masoor Dal               | bo.o I                                   | 61.33                                    | 64.12                                    | 78.04                                    | -8.20           | 4.55            | 21.71           |
| Groundnut Oil (Packed)   | 129.18                                   | 125.80                                   | 132.57                                   | 153.62                                   | -2.61           | 5.38            | 15.87           |
| Mustard Oil (Packed)     | 106.04                                   | 106.81                                   | 11't.92                                  | 130.63                                   | 0.73            | 4.79            | 16.72           |
| Vanaspati (Packed)       | 78.09                                    | 80.73                                    | 82.26                                    | 99.03                                    | 3.38            | 1.90            | 20.39           |
| Soya Oil (Packed)        | 85.62                                    | 90.29                                    | 94.04                                    | 109.45                                   | 5.45            | 4.16            | 16.39           |
| Sunflower Oil (Packed)   | 93.13                                    | 97.33                                    | 101 .87                                  | 123.89                                   | 4.50            | 4.67            | 21.61           |
| Palm Oil (Packed)        | 71.14                                    | 77.13                                    | 79.44                                    | 98.79                                    | 8.43            | 2.99            | 24.36           |

Source: DoCA