History of State trading: The history of State trading in this district can be traced back to 1942 when the British Government had imposed statutory rationing all over the country. The system of rationing was the direct consequence of the World War II which brought about conditions of acute scarcity and black marketing of all consumer goods. Under the policy of rationing the Government procured the rationed commodities from the producers on the basis of the compulsory levy, and the distribution was done through approved shops. The sale, purchase and transport of the rationed commodities by private parties was strictly prohibited. The extent of controls was gradually relaxed after the dawn of Independence and the controls were withdrawn in 1954.

With the rise in the prices of food-grains and sugar subsequently, a multitude of imbalances were witnessed in the market. The prices of rice, wheat, jowar and other essential food-grains registered a steep rise during the years 1959, 1962 and 1965. This state of affairs forced the Government to meet the situation by opening more fair price shops. The general price situation took an adverse turn with the Pakistani aggression in September 1965 and the subsequent conditions of scarcity in 1966.

The worsening food situation compelled the Government to introduce informal rationing and monopoly procurement of rice and jowar through Government agencies. Under the procurement system the Government started purchasing these food-grains from the producers at scheduled prices.

The system of monopoly procurement of jowar, paddy and rice was introduced in the district in 1965-66 under the Maharashtra Scheduled Foodgrains (Stock Declaration and Procurement, Disposal, Acquisition, Transport and Price Control) Order of 1963. Similar control orders were issued by Government for the subsequent years.

Under these orders the Government has prohibited sale and purchase of jowar, rice and paddy in the private sector. The producers are supposed to sell their produce of rice, jowar and paddy to Government only. The Maharashtra State Co-operative Marketing Federation Limited has been authorised as the chief agent on behalf of the Maharashtra Government for the monopoly procurement of jowar, paddy and rice. The Maharashtra State Co-operative Marketing Federation has authorised a number of societies to purchase jowar, paddy and rice at the respective regulated market centres in the district. Private trade of these commodities is banned and the transport and movement of these cereals is prohibited. But the agriculturists are, however, allowed to sell small quantities of these foodgrains to bona-fide consumers.

Sholapur district is predominantly a rabi crops growing district, while krarif jowar and paddy are grown on a very small acreage. Amongst its eleven talukas, Madha, Karmala and Mangalwedha are famous for its jowar production. The details of jowar procurement in the district from 1965-66 to 1969-70 are given below:—


Quantity (in tons)

Value (in rupees)
















The food-grains procured by Government are distributed through fair price shops. Almost every big village and a town has one or more fair price shops. There are 782 such fair price shops in the district. The fair price shops distribute jowar, rice, wheat and sugar to bona-fide card-holders. The fair price shops are managed by cooperative societies, village panchayats, local bodies as also by the authorised private shop-keepers. Co-operative societies and village panchayats are given preference over private shop-keepers for running lair price shops. They are controlled and inspected by the District Supply Officer or the Mamlatdar.