Despite an increase in storage capacities, large quantities of grains do not find adequate space, following successive years of poor lifting of additional grains allocated to states.
Officials from the food ministry said if the situation continued, the country could face a problem of plenty, as grain stocks this year are at a high level of 65 million tonnes (mt), while the total storage space available with the Food Corporation of India and state agencies, both covered and uncovered, is estimated at 63 mt as on June 1.
Procurement of wheat in the 2011-12 crop season, which started in April, is estimated to be 27.5 mt, while rice procurement is over 30 mt.
"Since May last year, the central government has allocated millions of tonnes of grains to states under special allocation, but the offtake by them has been poor, which has caused the storage problem we are facing," a ministry official said.
He said despite that FCI along with its affiliates had made adequate arrangements to ensure that minimum quantity of grains lay in the open during the monsoon season.
He said once the proposed Food Security Bill came into force, the country would need around 70 mt grains in the central pool, whereas the current annual procurement of grains is 53-55