MP stops movement of mustard, wheat & chana by private entities

The decision has been taken to ensure smooth government procurement of these commodities, the order said.

The Department of Food, Civil Supplies and Consumer Protection of Madhya Pradedh issued the order on April 28.

The order has led to confusion and anger among the milling industry and traders.

Trade and industry sources said there is growing pressure on the government to procure enough foodgrain as any adverse impact of El Nino could lead to speculative price rise in commodities like wheat, pulses and oilseeds.

Even as the peak arrival period of wheat is over, the Madhya Pradesh government procurement is falling behind its target.

In case of chana and mustard, whose prices are ruling below minimum support price (MSP) levels, the government is concerned about possibilities of speculative price rise by hoarders, especially if the monsoon is suboptimal, said millers and traders.Earlier, a similar decision was taken by Lalitpur district in Uttar Pradesh, where government procurement of wheat is negligible, to restrict movement of wheat out of the district by train.

Suresh Agrawal, president of All India Dal Millers’ Association said, “Mills processing pulses need quick access to the raw material. Now they will not be able to function properly.”