Bhopal (Madhya Pradesh): In the wake of rising prices of sugar and to check hoarding of sugar, the state government is preparing to impose a stock holding limit on bulk consumers of sugar from September 1 to November 30. In the following days, it will issue the notification in this regard.
A senior officer of food department said that stock holding limit on bulk consumers of sugar will be imposed in the light of central government's order.
Under provisions of the Essential Commodities Act 1955, strict action will be taken against the stakeholder in case of non-compliance.
The order issued by Ministry of Consumer Affairs, Food and Public Distribution says that no bulk consumer using or consuming more than 10 metric tonnes of sugar per month as raw material for production, consumption or use in any manner shall keep in stock sugar for any period exceeding 15 days.
However, the provisions of this order would not apply to any institutions belonging to Central or state governments.
Bulk consumers include confectioners, food processing industry and so on
The bulk consumer means confectioner, soft drink manufacturer, food processing industry, sweetmeat seller or any other institutional buyer consuming not less than 10 metric tonnes of sugar as average monthly consumption during last one year, excluding the current month.
The monthly quantity of sugar sold by each sugar mill to the bulk consumer, whether directly or through dealers would be verified and consumption of sugar would be determined, with reference to the Goods and Services Tax (GST) returns filed by the sellers or buyers using the relevant Harmonised System of Nomenclature (HSN) Code applicable to Sugar.
Sugar distribution under PDS stopped from April onwards
It is from April onwards that distribution of sugar under Public Distribution System (PDS) has been discontinued in state.
This decision was taken after centre told that no sugar distribution should be done after March as sugar related scheme under the 15th Finance Commission came to an end. Under PDS, state government used to provide 1 kg of sugar in Rs 20 per family.
