Bharat Rice Set to Hit Shelves at a Discounted Rate of Rs 25/kg

Bharat Rice Set to Hit Shelves at a Discounted Rate of Rs 25/kg
In an effort to combat rising cereal prices, the proposed Bharat rice is slated to be introduced at a discounted price of Rs 25 per kilogram. This initiative aims to make the essential staple more affordable for consumers and is expected to be made available through various government channels, including the National Agricultural Cooperative Marketing Federation of India (Nafed), National Cooperative Consumers’ Federation of India Ltd (NCCF), Kendriya Bhandar outlets, and mobile vans.
As the all-India average retail price of rice has surged to Rs 43.3 per kilogram, marking a significant 14.1% increase from the previous year, the move to introduce Bharat rice is driven by the overarching goal of curbing inflation. The government already provides Bharat wheat flour and chana dal at concessional rates, priced at Rs 27.50 per kilogram and Rs 60 per kilogram, respectively. These products are distributed through an extensive network of over 2,000 retail points.
The distribution model for Bharat rice is expected to follow the successful approach employed for Bharat dal and atta. In recent months, the government has implemented various measures to stabilize the prices of essential food grains, including banning non-basmati rice exports and setting an export floor price for basmati rice. The Food Corporation of India (FCI) has also taken steps to increase the availability of rice in the domestic market through the Open Market Sales Scheme (OMSS).
Cereal prices witnessed a 10.3% rise in November, contributing to an overall food inflation of 8.7%, up from 6.61% in October. This increase in food inflation is a significant component of the overall Consumer Price Index (CPI). Chief Economist at India Ratings, Devendra Pant, notes that the subsidised food grain initiative reflects the challenges faced by lower-income groups and underscores the structural issues contributing to inflation in cereals and pulses.
Despite export bans and increased domestic supplies, Pant expresses uncertainty about the persistent rise in wheat prices. He anticipates a gradual decline in the Consumer Price Index (CPI) to 4% by the end of the next fiscal year but expects inflation to average around 5.2-5.3% for the current fiscal year.