Government Tightens Watch on Rice Stocks to Curb Hoarding and Control Prices
What Happened
The Centre has directed traders, wholesalers, retailers, large retail chains, processors and rice millers across India to declare their rice and paddy stock positions every Friday on the government's Food Stock Portal. The November 6 order covers six categories, including basmati, non-basmati, premium, parboiled and broken rice, along with paddy. Entities that fail to register or violate prescribed stock limits may face action under the Essential Commodities Act, 1955. The government has also allowed five southern states — Andhra Pradesh, Karnataka, Kerala, Tamil Nadu and Telangana — to impose stock limits until January 31, 2027, wherever necessary.
Key Takeaways
The move aims to improve transparency in rice stocks, prevent hoarding and keep prices under control amid rising price pressures. Alongside mandatory reporting, the Centre is increasing the availability of subsidised Bharat Rice and doubling its rice sale target under the Open Market Sale Scheme from 25 lakh to 50 lakh metric tonnes for 2026–27. These measures are intended to strengthen market supplies and protect consumers from further price increases.