Lok Sabha Question No. 2194 (UNSTARRED), answered on 2025-03-12
Subject: Allocation of Funds under  PSF
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: Smt. Vijaylakshmi Devi

## ORIGINAL IN HINDI

## Government of India Ministry of Consumer Affairs, Food and Public Distribution

## Department of Consumer Affairs

## LOK SABHA

## UNSTARRED QUESTION NO.2194 (OIH)

TO BE ANSWERED ON 12.03.2025

## ALLOCATION OF FUNDS UNDER PSF

## 2194.  SMT. VIJAYLAKSHMI DEVI:

(OIH)

## Will the Minister of CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION be pleased to state:

- (a) whether  the  Government  is  aware  of  the  tremendous  increase  in  the  retail  inflation  and  the  food inflation in the country and if so, the details thereof;
- (b) the  measures  adopted  by  the  Government  to  check  the  unabated  rise  in  the  prices  of  food  items during the last few years;
- (c) whether  the  Government  has  allocated  adequate  funds  under  Price  Stabilisation  Fund  (PSF)  to regulate  the  price  volatility  of  essential  agri-horticultural  commodities  like  lentils,  onions,  fruits, vegetables and potatoes; and
- (d) if so, the details thereof along with the funds allocated under the PSF during each of the last three years?

## ANSWER

## THE MINISTER OF STATE CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION

## (SHRI B.L. VERMA)

(a) & (b) :  Retail inflation and Food inflation measured by year-on-year percentage variation in Consumer Price  Index  (CPI)  and  Consumer  Food  Price  Index  (CFPI)  as  published  by  Ministry  of  Statistics  and Programme Implementation have declined to 4.31% and 6.02%, respectively in January 2025 from 6.21 % and 10.87% in October 2024.

Government keeps a close watch on the production and availability of essential commodities through regular  reviews  by  the  Inter-Ministerial  Committee  (IMC). The  Committee reviews, on regular basis, the situation  of  prices  and  price  trends  of  essential  agri-horticulture  commodities  and  suggests  measures  to enhance availability through increased domestic production and through imports.

In order to tackle the volatility in prices, the Government of India maintains buffer stocks of pulses and  onion  for  market  interventions  through  calibrated  and  targeted  release  to  moderate  the  prices  in  the market. Part of the stock of pulses from the buffer are converted to dals for retail sale to the consumers at affordable  prices  under  the  Bharat  Dal  brand.  Similarly,  atta  and  rice  are  distributed  to  retail  consumers under  Bharat  brand  at  subsidized  prices.  Onion  from  the  buffer  had  been  released  during  September  to December, 2024 in a calibrated and targeted manner to moderate prices in high price consuming centres at wholesale  markets  and  through  retail  outlets.  Onions  from  the  buffer  were  distributed  among  retail consumers at Rs.35 per kg through stationary retail outlets and mobile vans in major consumption centres.

(c)  &  (d)  :    Funds  for  price  interventions  under  Price  Stabilisation  Fund  (PSF)  scheme  are  being  made available through annual budgetary support and accrual of sale proceeds to the Corpus fund. Adequate funds are  made available by  Government under PSF for interventions to stabilize the volatility in the  prices of essential agri-horticultural commodities. The details of funds allocated for PSF in past three years are given below:

## Funds allocated under Price Stabilisation Fund from 2021-22 to 2024-25

(Rs. in crore)

| Year    |   Annual Budgetary Support | Sale Proceeds   |   Total Funds |
|---------|----------------------------|-----------------|---------------|
| 2021-22 |                    2250    | 3939.00         |       6189    |
| 2022-23 |                       0.01 | 4786.00         |       4786.01 |
| 2023-24 |                       0.01 | 5967.00         |       5967.01 |
| 2024-25 |                    7000    | 7073.00*        |      14073    |

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