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Kerala buying Andhra rice to control prices

By IANS

Thiruvananthapuram : With the price of rice shooting up to Rs.20 a kg in the open market, the Kerala government has taken steps to buy 20,000 tonnes of rice from Andhra Pradesh and sell it at Rs.10 a kilo.

“Our officials are in Andhra Pradesh. The state government has sanctioned close to Rs.50 million to be given to state-owned Supplyco as subsidy to import rice,” said state Food and Civil Supplies Minister C. Divakaran to reporters here Monday.

“From Wednesday onwards, Supplyco is opening up exclusive shops selling rice across the state. Our aim is to sell rice at Rs.10 a kg,” said Divakaran.

“This is being done as part of our efforts in market intervention to bring down the prices.”

He said 80 percent of this was due to reasons associated with the centre and only 20 percent associated with the state.

“To have a permanent solution, the state government is now getting ready an essential commodities bill. Only through this can we bring to book hoarders and black-marketers. You just wait and see. Once this is ready, then the problem of artificial hike will be over once and for all,” said Divakaran.

The state government was talking to the Centre to see if rice could be imported from Thailand, he said.