The source did not say whether Iraq would resume its oil pumping to theTurkish Port of Ceyhan in the Mediterranean or to the Iraqi southernMina-al-Bakr oil terminal, both used to export oil under previousoil-for-food deals with the UN. The Council is expected to renew the oilpact for six months before the current extension expires late on Saturday,the United States and Britain said on Wednesday.

Pakistan rice exports hit
The slide in global demand has put a lid on Pakistan's rice exports anddealers said on Thursday the trend could prolong a bearish trend in prices."I fear that the bearish trend will continue because there are no freshorders," said a Karachi-based rice exporter of IRRI variety. He said onlytwo ships have arrived at the Karachi Port to carry shipments of 20,000tonnes and 7,000 tonnes to Africa. "But these were all delayed orders andnothing else is insight," he said.

Analysts have also predicted a fall in global rice trade because of betterweather in Asia and bumper crops in South America. A Basmati rice exportersaid the fall in demand was worrying exporters, who still have surplussupplies from last year's crop. "We have around 150,000 tonnes of old-cropstocks," he said, adding new crop supplies are also in the market in largequantity. He said except for a recent 22,500 tonne order from Oman, demandwas extremely slow.

Kerala mite disease
The centre has released Rs 96 lakh to the Kerala government to fight mitedisease in coconut palms which is spreading fast in the state. The funds,allotted to Kerala through Coconut Development Board (CDB), was forutilisation during 1999-2000, the Rajya Sabha was informed. The CDB has alsoapproved additional project costing Rs.three lakh to develop effectivebiocontrol measures against coconut mite, minister of state for agricultureSatyanarayana Rao said in a written reply.

He said the Kerala government has sought additional financial help of Rs 100crore from the centre to fight mite infestation. Rao said the stategovernment has assessed the damage arising out of mite infestation at 500lakh of coconut palms in 11 districts. In reply to another question, Raosaid a project for development of coconut farming system at a total cost ofRs 562.21 crore was received from the state government in September 1997.The project envisaged eradication of coconut palms affected by advancedstage root-wilt disease. During 1998-99, a sum of Rs 12.38 crore wasreleased and the allocation for the year 1999-2000 is Rs 9.27 crore.

PDS subsidy
There is no proposal to withdraw subsidy on food grains allocated to statesunder the Public Distribution System (PDS), the government assured LokSabha. Replying to a supplementary, consumer affairs minister Shanta Kumarsaid subsidy to the tune of Rs 10,000 crore was provided annually on foodgrains made available to the states and there was no proposal to withdrawit.

He, however, rejected a demand by a member that monthly entitlement of foodgrains of 10 kg per head be increased to 20 kg saying this was not possiblein view of the huge subsidy involved in it. He said over six crore familiesinvolving a population of 30 crores were being supplied food grains atspecially subsidised rates under the targeted public distribution systemmeant for those living below the poverty line.

Kumar also replied in negative when asked whether the government proposed toenhance the supply of sugar from 425 GM per capita per month. Answeringanother supplementary, he admitted that in some cases irregularities hadcome to light where actual food grain stocks did not tally with the bookentries. He said appropriate steps were being taken to tackle thisirregularity.