he government plans to sell an additional 2.5 million tonne through e-auctions by March 2027, as lower production estimates in southern states and rising retail prices prompt measures to augment domestic supplies

The Centre has doubled its open market rice sale target for the 2026-27 financial year (FY27) to 5 million tonne from the earlier 2.5 million tonne, as it looks to increase domestic availability and contain rising prices. 

The government has already sold 2.5 million tonne of rice to private buyers through e-auctions under the Open Market Sale Scheme (Domestic) as of 31 October, compared with 1.1 million tonne during the corresponding period last year.

The government plans to sell another 2.5 million tonne over the remaining five months of FY27 to further augment supplies and moderate prices, according to a statement.

The decision comes amid concerns over lower rice production, particularly in southern states, where drought and inadequate rainfall are expected to affect output.

Govt Steps Up Stock Monitoring
The Centre is also tightening monitoring of rice and paddy inventories to prevent hoarding and improve market availability. On 6 November, it made weekly stock disclosures mandatory for traders, wholesalers, retailers, large chain retailers, processors and millers across the country through the Food Stock Portal.

Entities must report their inventories every Friday under six categories: basmati rice, non-basmati premium rice, non-basmati rice, parboiled rice, broken rice and paddy.

Those failing to register or violating prescribed stock limits could face action under Sections 6 and 7 of the Essential Commodities Act, 1955, the government said.

The Centre has also authorised Andhra Pradesh, Karnataka, Kerala, Tamil Nadu and Telangana to impose stock limits on rice and paddy wherever necessary.

These restrictions will remain in force until 31 January  2027, with the Centre and state governments jointly monitoring their implementation to prevent hoarding and black marketing.

Bharat Rice Distribution Expanded
Separately, the government has decided to allocate additional quantities of Bharat Rice to three agencies: the National Agricultural Cooperative Marketing Federation of India (NAFED), the National Cooperative Consumers’ Federation of India (NCCF) and Kendriya Bhandar.

The agencies have been asked to explore additional distribution channels to improve the availability of Bharat Rice, particularly in southern states, and provide consumers access to the staple at affordable prices.

The Centre’s rice stocks in the central pool stood at around 38 million tonne as of 1 October 2026, against the prescribed buffer requirement of 10.25 million tonne, giving the government additional inventories to support market supplies.

Published Date: November 11, 2026