AIZAWL: Mizoram Congress MLA Lalrindika Ralte has claimed the state government incurred losses amounting to crores of rupees in the purchase of rice at a high price, resulting in financial crunch.

Speaking to the media in Aizawl, the Mizoram Congress MLA alleged that the state government incurred a loss of Rs 36.87 crore while purchasing rice between January and June this year.

He said that the loss has greatly contributed to current financial shortage in Mizoram.

According to Ralte, the Mizoram government used to purchase rice for Food Corporation of India (FCI).

Apart from the monthly quota, the Mizoram government purchases rice on economic cost to meet its monthly requirement, he said.

Also read: Mizoram financial crunch: State government hopeful of stabilising condition

From 2013, the Mizoram government began purchasing rice through open market as the price of rice was lower than that of FCI’s rate on economic cost, he said.

Although 1 quintal of rice was purchased at the rate of Rs 2750, the Mizoram government sold it at the rate of Rs 1500, thereby incurring a loss of Rs 1250 for each quintal of rice, he said.

It has been estimated that the Mizoram government incurred a monthly loss of Rs 6.14 crore and Rs 73.75 crore in a year, he said.

He urged the Mizoram government to purchase rice at reasonable price citing purchase at high rate means wastage of public money.

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