E-auction Of Rice : Food Cooperation Of India
The Food Cooperation of India (FCI) started an e-auction of rice to control retail prices.
- Consumer Affairs, Food and Public Distribution Ministry have said that the decision to sell rice through e-auction under the Open Market Sale Scheme (OMSS) from the buffer stock to bulk consumers has been taken in the public interest.
- Open Market Scheme refers to the selling of food grains by the Government at predetermined prices in the open market from time to time.
- Objective is to enhance the supply of grains, especially during the lean season and thereby to moderate the general open market prices, especially in the deficit regions.
- Ministry: Ministry of Consumer Affairs, Food and Public Distribution.
- Under the OMSS, the FCI from time to time sells surplus food grains from the central pool, especially wheat and rice in the open market to traders, bulk consumers, retail chains, etc., at predetermined prices.
- The FCI does this through e-auctions where open market bidders can buy specified quantities.
- The FCI conducts this weekly auction using NCDEX (National Commodity and Derivatives Exchange Limited).
- NCDEX: a commodity exchange platform in India that provides a platform for trading in various agricultural and other commodities.
- The State Governments/ Union Territory Administrations are also allowed to participate in the e-auction if they require wheat and rice outside Targeted Public Distribution System (TPDS )