The meeting also decided that the crop forecasting system be improved and a joint-monitoring mechanism set up between the central and the state governments to make real-time assessment of surpluses and deficits to plan responses in advance.

Prabhat Kumar said in the light of the damage caused to seedlings for the late kharif crop of onions, it was decided that the ban on their export, currently valid till November 30, be extended till January 31, 1999.It was also decided that the restrictions on the movement of essential commodities, including informal restrictions, need to be lifted in the interest of their free flow throughoutthe country.

The meeting also decided that stringent action should be taken against hoarders and black-marketeers under the Essential Commodities Act and the Prevention of Black marketing and Maintenance of Supplies of Essential Commodities Act. Briefing newspersons after four-hour long deliberations, Kumar said concerned over the steep rise in the prices of certain essential commodities in the last two weeks, the meeting arrived, with consensus, at a short-term and medium-term framework to keep the prices in check and maintain the necessary supplies.

It was also decided that states and union territories should undertake market-intervention operations as last resort in a transparent manner to ensure that maximum benefits are available to the vulnerable and weaker sections of the society.

Where necessary, the central government would be prepared to consider grant of financial assistance for this purpose on matching basis to the state governments, Prabhat Kumar said.

In response to many states' demandfor increased allocations of rice, wheat and palmolein, the cabinet secretary said the centre would consider increasing such allocations on a one-time basis.

Also, he said state governments had been given flexibility to exempt any edible-oil from the provisions of the compulsory packaging order so that no undue hardship was caused to consumers. A special study group would be set up to identify measures required to meet the needs of north-eastern states and island territories, he said.

The cabinet secretary said the conference felt that the decisions on imports to cover the anticipated gap between demand and supply should be taken on the basis of the area sown. Such decisions should be taken three to four months in advance of harvest and imports should be undertaken on a centralised basis by central government agencies and not separately by individual state agencies.

It was also decided that additional storage capacity be built up in different parts of the country and an action plan immediately drawn upfor the purpose. Ministry of agriculture will set up a high-level expert group to identify the necessary policy measures in this regard. States maintaining control on cold storages would repeal such orders.