Question : Storage Capacity

(a) whether there are reports of damage to foodgrains due to shortage of storage capacity, foodgrains storage in open and other reasons;

(b) if so, the details thereof and the reasons therefor indicating the requirement and availability of storage space along with the quantum of foodgrains, procured, stored and damaged during each of last three years and the current year, State-wise;

(c) whether the Government proposes to create storage space under PPP model to bridge gap between availability and requirement, if so, the details thereof and the action taken thereon indicating the capacity proposed and actually created, state-wise; and

(d) the other steps taken/proposed to check damage to foodgrains and penalise the negligent/defaulting officers?

MINISTER OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION
(SHRI RAM VILAS PASWAN)


(a)&(b) There is no report of damage to foodgrains due to shortage of storage capacity. There is sufficient storage capacity for storing central pool foodgrains. The storage capacity available with FCI and State agencies is 726.43 lakh tons against the stock position of 568.34 lakh ton as on 31.05.2015. However, some quantity of foodgrains may get damaged/become non-issuable during storage due to various reasons such as storage pest’s attack, leakages in godowns, procurement of poor quality stocks, exposure to rains, floods, negligence on the part of concerned persons in taking precautionary measures etc. Wheat stocks are sometimes stored in Cover and Plinth (CAP) storage in open, which is also a scientific storage, due to logistic constraints during procurement season.

Storage capacity requirement for central pool foodgrains depends upon the procurement level, buffer stocking and PDS requirement of the consuming States. Total storage capacity available with FCI (owned as well as hired) and State Agencies for storage of central pool stocks as on 1st June (when the stock position is maximum during Rabi Marketing Season) during the last three years with the corresponding stock position in central pool is given as below:
(Fig. in Lakh Tons)
As on Total Storage capacity with FCI Storage capacity with State agencies Total Storage capacity Stock position
01.06.2013 397.02 354.28 751.30 676.59
01.06.2014 383.05 375.47 758.52 622.31
01.06.2015 368.75 357.68 726.43 568.34

The state-wise details are at Annex- I, II & III.


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State-wise details of wheat and rice procured in central pool during each of the last 3 years and current year are at Annex-IV & V. Details of central pool stocks accrued as damaged/non-issuable during the last 3 years and current year is at Annex-VI.

(c): Yes, Government of India is already implementing Private Entrepreneurs Guarantee (PEG) Scheme for construction of storage capacities through Private Entrepreneurs, Central Warehousing Corporation (CWC), State Warehousing Corporations (SWCs) and State agencies. FCI guarantees hiring for 10 years in case of private investors and 9 years in case of CWC, SWC and other State agencies. Total about 200 lakh tons capacity was planned to be created in 20 States. The State-wise details of capacity proposed and completed under PEG Scheme are given at Annex– VII.

(d): It has been decided that the stocks stored temporarily in the Cover and Plinth (CAP) storage are to be liquidated first to avoid any damage. No stock will be stored in CAP in consuming areas. However, in exigency during peak procurement, storage in CAP will be done only for short periods. Further, FCI has planned to modernize its existing storage capacity by construction of modern silos on a PPP mode with the provision of Viability Gap Funding.

Steps taken by Government to preserve the quality of procured foodgrains during storage to avoid damage are at Annex-VIII. Details of action taken against officers/officials of FCI for damage of foodgrains due to various reasons is at Annex-IX.

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