Is India inching towards a hunger trap?
IN the dust kicked up by the resignation of Mr Advani, two things of grave concern escaped attention. The first was a statement by Mr Sharad Pawar, Agriculture Minister, that India would import wheat to meet the supply needs of the public distribution system (PDS) and the food-for-work programme. The second was the eruption of a bullish run in the domestic wheat market right at the end of the crop marketing and procurement period. This situation must be of concern to both consumers and food policy-makers. An analysis of the international wheat price movements suggest that landed wheat costs Rs 11,000-12,000 per tonne. And wheat in the open market in Delhi is selling at more than Rs 10 a kg. How would a labourer earning Rs 100 a day with a wife and two or three children, living in a Delhi slum, buy enough atta to meet his day-to-day requirements if the wheat prices stay this high? The timing and suddenness of the price hike are unusual and could affect the food front. The UPA government
