Lok Sabha Question No. 435 (UNSTARRED), answered on 2025-07-22
Subject: Production and Import of Cereals
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Shri Sudama Prasad

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE & FARMERS WELFARE DEPARTMENT OF AGRICULTURE & FARMERS WELFARE

## LOK SABHA UNSTARRED QUESTION NO. 435

TO BE ANSWERED ON THE 22 ND  JULY 2025

## PRODUCTION AND IMPORT OF CEREALS

435. SHRI SUDAMA PRASAD:

Will the Minister of AGRICULTURE AND FARMERS WELFARE क ृ िष एवं िकसान कʞाण मंũी be pleased to state:

(a) whether the Government has taken cognisance of the widening 'cereal gap', wherein India is simultaneously reporting record domestic production of cereals while doubling its cereal imports in the last decade, as highlighted by Down To Earth dated 3/01/2025; (b) whether this contradiction points to serious lapses in procurement, storage and supply chain management and whether any audit has been conducted on post-harvest losses and export-import policy distortions; (c) the extent to which free trade agreements and cereal exports have disrupted domestic price stability and compromised food security for lower-income populations; (d) whether the Government plans to revamp its approach to public distribution, ensure domestic prioritisation over exports and protect farmers from market volatility; and (e) if not, the rationale for continuing with a policy regime that undermines self-sufficiency

- in essential grains?

## ANSWER

## THE MINISTER OF STATE FOR AGRICULTURE AND FARMERS WELFARE क ृ िष एवं िकसान कʞाण राǛ मंũी (SHRI RAMNATH THAKUR)

(a): Government of  India  continues  to  maintain  self-sufficiency  in  major  cereals, particularly rice and wheat, which have seen no significant increase in import volumes over the past decade. In fact, India remains a net exporter of both rice and wheat in recent years.

Domestic cereal production has remained strong, with total output rising from approximately 234.87 million tonnes in 2014-15 to over 308.05 million tonnes in 202324. This includes record production levels of both rice and wheat. According to the Third Advance Estimates, cereal production is expected to reach an all-time high of 328.72 million tonnes in 2024-25. In the same fiscal year (2024-25), cereal exports are projected at 20.90 million tonnes, underscoring the country's surplus and robust export capacity. In contrast, cereal imports are estimated at just 1.36 million tonnesnegligible  in  comparison  to  overall  domestic  production  and  exports.  The  marginal increase in cereal imports during 2024-25 is primarily due to higher maize imports, which stand at approximately 0.97 million metric tonnes. This rise is driven by factors other than food security.

The Government's cereal policies are aligned with the dual objectives of food security and agricultural diversification under the broader vision of Atmanirbhar Bharat. The  Government  remains  committed  to  maintaining  self-sufficiency  in  essential cereals  while  responsibly  managing  demand  from  emerging  sectors  like  biofuels. Continuous  review  and  course  correction  are  integral  to  ensuring  procurement efficiency, storage adequacy, and equitable food access across the country.

(b): The  Department  of  Food  &  Public  Distribution  takes  care  of  procurement, storage and supply chain management of Central Pool stock through the implementing agency, Food Corporation of India (FCI).

The requirement of Storage capacity in FCI depends upon the level of procurement, requirement of buffer norms and public distribution system operations for Rice and Wheat  mainly.  FCI  continuously  assesses  and  monitors  the  storage  capacity  and based on the storage gap assessment, storage capacities are created/hired through following schemes: -

1.  Private Entrepreneurs Guarantee (PEG) Scheme
2.  Central Sector Scheme (CSS) 2017-25 (culminated on 31.03.2025)
3.  Construction of Silos under Public Private Partnership (PPP) mode
4.  Hiring  of  godown  from  Central Warehousing  Corporation/State Warehousing Corporations (SWCs)/State Agencies
5.  Hiring of godown through Private Warehousing Scheme (PWS).
6.  Creation of godowns under Asset Monetization
7.  Covered and Plinth (CAP) Hiring Scheme -2025
8.  Modified PEG scheme for North Eastern & Hilly states with longer guarantee period of 15 years

As on 01.07.2025, total Covered Storage Capacity available with FCI and State agencies throughout the country for storage of Central Pool foodgrain stock is 821.36 Lakh MT.

(c) to (e): The  Government  carefully  calibrates  export  and  import  decisions  for cereals to balance farmers' interests, consumer affordability, and buffer stock norms. While India has trade commitments under various FTAs and WTO obligations, these do not override the priority of domestic food security.

Government continues to review and strengthen the PDS and related mechanisms and ensure domestic prioritisation while protecting farmers from market volatility. Key steps include:

-  One Nation, One Ration Card (ONORC) for seamless access to food grains across states.
-  Maintaining adequate buffer stocks of rice and wheat with FCI to ensure price stability.
-  Supporting farmers through Minimum Support Price (MSP), procurement under Price  Support  Schemes  and  Price  Deficiency  Payment  Scheme  under  PMAASHA, and expanding coverage to include coarse cereals in specific regions.
-  Promoting crop diversification to encourage millets and maize in anticipation of rising industrial demand.

Domestic availability of essential agricultural commodities is regularly monitored to calibrate export and import measures to balance farmers & consumers interest and to ensure price stability.

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