PEC floats tenders to import 1.2 lakh tonnes of maize

The Dollar Business Bureau

Indian trading company PEC Ltd has sought international tenders to import 1.2 lakh tonnes of maize to increase the supply and control the rising prices in the country. PEC is a public sector undertaking under the Department of Commerce, Union Ministry of Commerce and Industry.

To prevent hoarding, the Minister for Commerce and Industry Nirmala Sitharaman, has already approved inward shipment of 5 lakh tonnes of maize through the State Trading Corp, PEC Ltd under Tariff Rate Quota (TRQ) scheme. The Central government permits to import maize (along with three other products) at zero import duty, under the TRQ scheme.

PEC has asked for two different tenders seeking 1.2 lakh tonnes of non-genetically modified maize and Friday is the last date for submitting the bids, with the condition that the stock should be delivered by August 15, 2016. Keeping in view the falling production of maize, last month the trading company had invited bids for the shipment of 50,000 tonnes of maize to increase the supply in the country.

According to the third advance estimate of Agriculture Ministry, the production of maize in India will be decreasing to 21 million tonnes in 2015-16 against 23.67 million tonnes in the last year. Traditionally, the country is a chief exporter of maize to the countries of Southeast Asia. However, the drought condition and growing demand in India has reduced exports. The poultry industry and the starch manufacturing sector are important consumers of maize in the country.