India is no longer facing the 'problem of plenty' with food stocks having fallen 39 per cent to 221.48 lakh tonnes as on first March 2004 from 361.93 lakh tonnes on the same day last year.
Government officials attribute the decline in food stocks to massive exports, increased offtake for servicing ration shops and lower procurement last year on account of drought.
According to the latest official data, the wheat stocks declined a massive 54 per cent to 85.73 lakh tonnes from 185 lakh tonnes during the period in question. Rice stocks fell to 135.75 lakh tonnes from 176 lakh tonnes.
Wheat procurement in 2003-04 season had fallen to 158.01 lakh tonnes from 190.55 lakh tonnes. Rice procurement was also hit by drought and fell to 164.11 lakh tonnes from a record 221.29 lakh tonnes in the previous year.
While procurement fell, offtake from the central pool showed a significant increase in the past two years, leading to fall in stocks. Total offtake of grains during April-February period was 439.93 lakh tonnes against 445.86 lakh tonnes in the same period of 2002-03.
Officials said more wheat and rice was being lifted from godowns than was being procured; particularly due to the devastating drought in 2002, quantities disbursed under welfare schemes showed an increase.
Exports emerged as a major instrument in disposing of the "surplus" stocks with 67.89 lakh tonnes wheat and 30.82 lakh tonnes rice being sold to exporters in April-February 2003-04. In the same period of the previous year, offtake for exports was 54.5 lakh tonnes and 69.35 lakh tonnes wheat, respectively.
