Cabinet approves disposal of Chana procured under Price Support Scheme & Price Stabilization Fund and enhancement of quantity procurement ceiling under PSS from existing 25% to 40% in respect of Tur, Urad and Masur

Rs. 1200 crore to spent for implementation of this Scheme

15 lakh MT of Chana on offer at the discount of Rs. 8 per kg over Issue Price of the sourcing State

States/UTs to utilize these pulses in Welfare Schemes/Programmes

The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Shri Narendra Modi, has approved disposal of Chana (Pulses) to States/UTs at discounted rate to be utilized for various Welfare Schemes from the stock of pulses procured under Price Support Scheme (PSS) & Price Stabilization Fund (PSF), and enhancement of ceiling on quantity of procurement under PSS from existing 25% to 40% in respect of Tur, Urad & Masur.

Under this approved Scheme, the States/UTs Government are offered to lift 15 lakh MT of Chana at the discount of Rs. 8 per kg over Issue Price of the sourcing State on First come first serve basis. The States/UTs to utilize these pulses in their various Welfare Schemes/Programmes like Mid-Day Meal, Public Distribution System, Integrated Child Development Programmes (ICDP) etc. in their States/UTs. This will be one-time dispensation for a period of 12 months or till complete disposal of 15 lakh MT stock of Chana whichever is earlier. The Government will spend Rs. 1200 crore for implementation of this Scheme.

The decisions will enable the States/UTs to use Chana in various Welfare Schemes like PDS, Mid-Day Meal Schemes etc. besides making available space of warehouses, which may be required in coming Rabi season for accommodating fresh stocks procured under Price Support Scheme which will help in getting remunerative price of pulses to the farmers besides, encourage more farmers to grow such pulses by making higher investment and help them in fetching remunerative price for their produce. Moreover, this also helps in achieving self-sufficiency of such pulses in our country.

In recent times the country has witnessed an all time high production of Chana (Pulses) especially during the last three years. Government of India under Price Support Scheme has made record procurement of Chana during Rabi 2019-20, 2020-21 & 2021-22. Due to this, 30.55 lakh MT of Chana is available with the Government under PSS & PSF in the coming Rabi season also, the production of Chana is expected to be good. This coupled with increase in Minimum Support Price for Chana during 22-23 will entail additional procurement under Price Support Scheme.

Discounted public pulse disposal enables states to procure stocks for welfare programmes under revised procurement ceiling. Cabinet approved one time disposal of 15 lakh MT of Chana from stocks held under the Price Support Scheme and Price Stabilization Fund at a discount of Rs. 8 per kg over the sourcing State's issue price for States/UTs to use in welfare programmes, with central expenditure of Rs. 1200 crore and a 12 month or till stock exhaustion timeline. It also increased the PSS procurement ceiling from 25% to 40% for Tur, Urad and Masur to free warehouse space, support remunerative prices for farmers and encourage pulse production.