August 29, 2008
India's government raises corn purchase price 35 percent
The Indian government has decided to raise the price it pays to farmers for corn by more than 35 percent, the Business Standard newspaper reported on Thursday (August 28, 2008).
The cabinet has decided the government would buy corn from local farmers at 840 rupees (US$19.20) per 100 kg in 2008/09, up from 620 rupees last year, the paper said quoting unidentified sources.
The decision would drive corn prices above 1,000 rupees per 100 kg, Anuradha Desai, chairwoman of the National Egg Co-ordination Committee said. This would hit the starch and poultry industries the hardest, she added.
