The CCEA also approved the proposal for undertaking the north eastern region community resource management project for upland areas with the aid of international funding and the sanctioning of Jharkhand opencast project of Central Coalfields Limited at an investment of Rs 110.89 crore.

After the CCEA meeting an official spokesman told media persons that the benchmark price of natural rubber of RSS-4 grade has been increased to Rs 3,405 per quintal and the RSS-5 grade to Rs 3,355 per quintal to provide remunerative prices for the natural rubber producers. The prices had also been revised keeping in view increase in costs of production, the spokesman added.

The CCEA has approved the proposal to notify increase in SMP forthe 1998-99 sugar season to Rs 52.70 per quintal linked with a basic recovery of 8.5 per cent subject to a premium of Rs 0.62 for 0.1 per cent increase in the recovery above that level. The increase in SMP was being used for calculation of the levy price of sugar.

Increase in SMP will benefit a large number of sugarcane growers as the sugar producing states might revise the state advisory prices to be actually paid by the sugar factories to farmers. The spokesman clarified that increase in the benchmark price for rubber was meant for undertaking market intervention operation by the government agencies. If the prices fell below the benchmark level, the government agencies would enter the market and purchase rubber to stabilize prices.

The revision in the buffer stock level norms of foodgrains are for a period of five years to ensure food security of the country.

The new norms provide peak stocks of 24.3 million tonnes as on July one with wheat stocks of 14.3 million tonnes and ten million tonnes of rice.The norms as applicable on April one will be 15.8 million tonnes, which comprise 11.8 million tonnes of rice and four million tonnes of wheat.

The revised buffer stocks as on October one and January one, had been fixed at 18.1 million tonnes and 18.8 million tonnes respectively.