Record Foodgrain Procurement and Allocation under PDS End-to-End Computerization of TPDS Storage Capacity Augmented Prices of Sugar and Edible Oils Remained Stable Year End Revie

for Ministry of Food Processing Industries | Date - 24-12-2012


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In Rabi Marketing Season (RMS) April-March 2012-13 record quantity of 381.48 lakh tonnes wheat was procured. During Kharif Marketing Season (KMS), October 2011- September 2012, 350.36 lakh tonnes of rice was procured for the central pool.During the ongoing KMS 2012-13 as on 14-12-2012, 138.62 lakh tonnes of rice has already been procured which is 5.5% higher than the quantity procured during the same period of previous KMS.Higher MSP over the last few years, coupled with better outreach has led to higher procurement in the last few years. As a result, procurement of foodgrains has risen and the Central Pool stock had increased from 196.38 lakh MTs as on 1.4.2008 to a peak level 823.17 lakh MTs as on 1.6.2012. The safe upkeep of the stocks which reached record levels this year was a major challenge.

Further on the recommendations of committee headed by Justice (Retd.) D. P. Wadhwaan allocation of 19.42 lakh tons of foodgrains for the additional AAY and BPL families in the poorest districts of the country at AAY and BPL prices besides allocation of 7.26 lakh tons of foodgrains for the festivals, drought/flood relief, etc.Thus, a total of 576.10 lakh tons of foodgrain has been allocated so far during the current year 2012-13 under TPDS against the total allocation of 565.70 lakh tons during 2011-12.Further, 49 lakh tons of foodgrains has been allocated for Other Welfare Schemes like Mid-day Meal Scheme, Wheat Based Nutrition Programme under ICDS, Rajiv Gandhi Scheme for Empowerment of Adolescent Girls (RGSEAG) (SABLA), SC/ST/OBC Hostels Scheme, Annapurna Scheme and Emergency feeding Programme in Odisha.

A number of steps have been taken to augment the storage capacities for foodgrains in view of increased procurement. The storage capacity, Covered and Cover and Plinth (CAP) available with the Food Corporation of India increased from 238.94 lakh MTs as on 31.3.2008 to 373.43 lakh MTs as on 30.11.2012, an increase of about 56%. The storage capacities, both covered and CAP, available with State agencies for storage of Central stock of foodgrains have also increased from 291.32 lakh MTs as on 31.3.2012 to 341.35 lakh MTs as on 30.11.2012. As a result, a total of about 715.00 lakh MTs of storage capacity was available for storage of Central stock of foodgrains.However, to meet the storage requirement of an all time high stock levels of 823.17 lakh MTs, achieved this year, the FCI resorted to short term hiring and efficiently managed the stocks.

With a view to incentivizing the creation of storage capacity further, the Government initiated the Private Entrepreneurs Guarantee (PEG) Scheme which aims to construct storage godowns through private entrepreneurs, Central Warehousing Corporation (CWC) and State Warehousing Corporations (SWCs).Assessment of additional storage capacities under the scheme is based on overall procurement/consumption levels and the storage space already available.Under the PEG Scheme, FCI guarantees a 10 years usage of storage capacitiesto the private investors and 9 years to CWC and SWCs. Under the scheme, a capacity of 181.08 lakh MTs has been approved for the construction of godowns in 19 States out of which a capacity of 129.97 lakh MTs has been sanctioned for construction. A capacity of 32.27 lakh MTs has been completed out of which a capacity of 22.91 lakh MTs has been taken over during the year and the balance is expected to be taken over shortly.Further capacity of about 65 lakh MTs is under construction.It is expected that by March 2013, a capacity of 73 lakh MTs will be completed, thus solving the shortage of covered godown space to a great extent.

For ensuring long term scientific storage, the Government has also approved construction of 20 lakh MTs of storage capacity in “silosâ€

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