(a) whether FCI`s role is confined to procurement of major cereals for Public Distribution
System;
(b) if so, whether procurement of coarse cereals rests with the concerned State Government;
(c) if so, the details thereof;
(d) whether his Ministry has requested the Ministry of Agriculture to entrust this tasks of
procurement of coarse cereals through NAFED; and
(e) if so, the alternate arrangements made for procurement of coarse cereals which are in
plenty in some States?
THE MINISTER OF STATE IN THE MINISTRY OF CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
( SHRI SUBHASH MAHARIA )
(a): Yes, Sir.
(b)&(c): The present practice being followed for procurement and disposal of coarsegrains
is as under:-
i) the State Governments/Agencies procure the foodgrains at the Minimum Support Price (MSP) on
behalf of the FCI/Government of India;
ii) the State Governments retain the quantity procured to the extent of their requirement for
the Public Distribution System (PDS) and the balance is disposed off by FCI on `as is where is
basis` by open auction/tender; and
iii) the difference between the economic cost and disposal/issue price is paid as subsidy to the
State Government.
(d): Yes, Sir. However, the Ministry of Agriculture was not in a position to agree to the
request of this Department due to managerial and financial constraints.
(e): The existing arrangements as detailed in the reply to parts (b) and (c) above are being
continued.