The Indian government has announced significant measures to tackle the excessive rice stockpile held by the Food Corporation of India (FCI), currently at 500 lakh tonnes—more than double the required buffer of 214 lakh tonnes. To address this, the government plans to reduce the sale price of FCI rice for ethanol production to ₹24–₹25 per kg, down from ₹32 per kg. This move aims to make surplus rice more accessible for grain-based distilleries, aligning with India’s ethanol-blending fuel strategy and reducing stockpile pressure.
In addition to supporting ethanol production, the government is exploring the export of 20 lakh tonnes of surplus rice while ensuring adequate reserves for domestic consumption and ethanol-related needs. Even after these measures, an estimated 8–10 lakh tonnes of surplus rice will remain. Food Secretary Sanjeev Chopra highlighted the urgency of liquidation strategies to balance supply and stabilize market dynamics.
Separately, the government has increased the Minimum Support Price (MSP) for milling copra by ₹422 to ₹12,100 per quintal and for ball copra to ₹12,210 per quintal. With a budget allocation of ₹855 crore, this initiative aims to provide better returns to coconut farmers and stimulate production to meet rising domestic and global demand. Cooperative agencies such as NAFED and NCCF will oversee procurement to ensure direct farmer benefits.
These initiatives underscore the government’s focus on resolving agricultural surpluses, improving market accessibility for industries, and supporting rural development through sustainable measures. (Source: Times of India)

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