Karnataka Intensifies Crackdown on Rice Hoarders
Karnataka has intensified its crackdown on illegal rice stockpiling and PDS grain diversion, seizing over 18 lakh kg of rice and 250 trucks and arresting more than 232 people in two months. Food and Civil Supplies Minister Rizwan Arshad warned traders against profiteering amid a 40% rainfall deficit and concerns over declining rice production.
Bengaluru: Karnataka Food and Civil Supplies Minister Rizwan Arshad has warned rice traders against illegal stockpiling and profiteering, stating that the government will intensify raids to prevent artificial price increases amid concerns over declining rice production.
The minister said the department had seized more than 18 lakh kg of rice and over 250 trucks in the past two months as part of its crackdown on rice smuggling and illegal storage. More than 232 people had also been arrested and sent to jail during the enforcement drive.
He said the government would continue monitoring rice traders and take strict action against those attempting to create artificial shortages or exploit consumers through inflated prices.
Over 18 lakh kg of rice seized in two months
According to Arshad, the Food and Civil Supplies Department has stepped up enforcement against illegal transportation, storage and sale of rice.
The department is particularly monitoring the diversion of subsidised rice supplied through the Public Distribution System (PDS). Action is being taken against individuals involved in illegally transporting and selling rice meant for eligible beneficiaries.
The minister said surveillance would continue to identify those involved in diverting subsidised food grains into the black market.
He added that the enforcement campaign would cover both PDS rice diversion and illegal commercial stockpiling by private traders.
Rainfall deficit raises concerns over rice prices
Arshad expressed concern that traders might exploit the situation arising from deficient rainfall and the resulting decline in agricultural production.
Karnataka has recorded a rainfall deficit of around 40%, affecting agricultural output. Inadequate rainfall in other parts of the country has also raised concerns about rice production and availability.
The minister acknowledged that lower production could put upward pressure on rice prices. However, he warned that the government would not allow traders to take advantage of the situation by accumulating stocks illegally and selling rice at inflated rates.
He said the department would closely monitor market conditions to prevent artificial price increases.
Private traders also under scrutiny
The minister made it clear that action would not be restricted to those involved in the diversion of subsidised rice.
Private traders found illegally storing ordinary rice or attempting to manipulate market prices would also face action.
Officials have been instructed to maintain strict vigilance over bulk purchases and storage facilities. Raids will be conducted wherever large-scale stockpiling or suspicious commercial activity is detected.
Traders found violating regulations or creating artificial shortages could face stringent legal action, he warned.
Government exploring measures to address supply concerns
Meanwhile, the Karnataka Government is in touch with the Union Government regarding the impact of deficient rainfall on rice production.
The State is exploring possible assistance to address concerns over supply and availability. The discussions are aimed at responding to production-related challenges and preventing disruptions in the market.
Arshad reiterated that protecting consumers from profiteering remained a priority. He said the enforcement drive would continue until illegal rice trading, diversion of subsidised grains and unauthorised stockpiling were brought under control.
The government has warned traders against taking advantage of production concerns and said strict action would be taken against those found violating the rules.
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Source : News Karnataka
