The Hindu Business Line : AP Rice exporters deny hand in diversion scam

Rice exporters are not involved in any shady deals and they are making no attempts to divert rice meant for the public distribution system, or the food-for-work programme, according to Mr D. Surya Rao, Chairman of the Cocanada Chamber of Commerce.

In a statement issued here on Friday, Mr Rao said that conflicting reports and rumours were appearing in a section of the press, after the recent vigilance raids on rice godowns and seizure of stocks, that rice meant for the PDS was being diverted for exports on a large scale. He said there was no truth in it.

MEETS COLLECTOR

Mr Rao said that on behalf of the chamber and the exporters a delegation had met the District Collector, Mr Subrahmanyam, and cleared the apprehensions.

"The exporters purchase the rice from the millers and from then on at every stage the transactions are documented and accounted for. However, they have no means of checking the source of the rice. Therefore, if there is any diversion, the responsibility vests with the miller and not the exporter or the handling agent. We have made it clear to the Collector and urged him to set up check-posts to prevent diversion," he explained.

ASSURANCE

He said the delegation had assured the Collector of all co-operation and made it clear that the exporters were not interested in diverting PDS rice for exports.

Mr Rao said the negative publicity generated by the recent raids would adversely affect the exports being carried out through the anchorage port here on a large scale during the past two years. Therefore, the district administration should initiate the requisite steps and prevent delay in shipments.

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