Kerala News

Direct procurement scheme to reduce rice prices across Kerala

Once cooperative societies and the Consumerfed implement their plan to purchase rice from other states directly, rice will be available at lower prices.

Published: 14th February 2017 05:27 AM  |   Last Updated: 14th February 2017 05:27 AM   |  A+A-

Express News Service

KOCHI: Once cooperative societies and the Consumerfed implement their plan to purchase rice from other states directly, rice will be available at prices lower by `10 than the current market price in Kerala.

The consumption pattern shows ‘matta’ rice continues to be the favourite of Malayalis, followed by Jaya and Kuruva. The state government plans to form a consortium of Consumerfed and primary cooperative societies, which will raise a capital of Rs 100 crores.

According to Cooperation Department special secretary P Venugopal, a pilot project will be launched using the fund raised by the consortium.
“A special purchase committee comprising members of cooperative societies, which procure rice from other states, has been formed.

“It will hold talks with rice mill owners and paddy procuring societies in states like Andhra Pradesh and Odisha. Since profit is not the motto, consumers can be sure of getting rice at lower prices,” said Venugopal.

Two types of matta rice is sold in Kerala - long grain matta and short grain matta.

Long grain matta is procured from private mill owners and sold at `48-50/kg, while short grain matta is priced between `35 and `39/kg.

The Jaya variety, which is another favourite of Keralites, is priced at `45-47/kg, while Kuruva is sold for `32-36/kg.

Usually, private rice mills in the state procure paddy from other states, including Karnataka, at `28/kg. When milling charge and retail margin are added, the rice costs `20 more in the retail market. 

“Cooperative societies and the Consumerfed have not finalised the selling price of rice. We plan to procure processed rice and sell it through the Consumerfed outlets and cooperative societies without profit margin,” he said.

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