CABINET MAY CLEAR EXPORT OF 2 MN TONNES OF WHEAT

NEW DELHI: The Cabinet Committee on Economic Affairs is on Thursday expected to allow the export of 2 million tonnes of wheat. “On the agenda is a proposal to allow the export of wheat stored in Food Corporation of India godowns,” a highly placed source said.

FCI godowns are overflowing with a record 82 million tonnes of rice and wheat, against a storing capacity of only 64 million tonnes. To clear the surplus stock, the food ministry has proposed the export as recommended by the Prime Minister’s Economic Advisory Council chairman C Rangarajan, official sources said.

The food ministry has suggested wheat export through public sector undertakings, with a floor price of $228 per tonne. However, the finance ministry has opposed the move, citing concerns about a subsidy of about R1,500 crore due to the outbound shipments, the source added. Export of wheat was banned in September 2011.

Last week, 17 nations had expressed an interest in importing wheat from India. In the 2011-12 crop year (JulyJune), wheat production is expected to be a bumper 90.23 million tonnes.

NEW COMPLEX FOR SC

The cabinet is likely to consider on Tuesday a law ministry proposal to construct an additional complex for the Supreme Court for R884 crore. The complex will be built on 12 acres near the Supreme Court.