23 July 2014

Foodgrains Storage Capacity of 203.76 lakh MT to be Constructed in 19 States


The Center has approved a capacity of 203.76 lakh MT for construction in 19 states, under the Private Entrepreneur Guarantee (PEG) scheme to ensure increased foodgrains storage capacity. Out of this 120.30 lakh MT has been completed. This information was given by the Minister of State for Consumer Affairs, Food and Public Distribution, Shri Raosaheb Patil Danve in a written reply in Lok Sabha today .
Storage capacity is being created under this Scheme in PPP mode through private parties, as well as various agencies in Public Sector for guaranteed hiring by FCI.  Guarantee period for private parties is 10 years whereas for Public Sector agencies it is 9 years. In case of private parties, state wise tenders are invited by designated nodal agency under a 2 bid system. At the technical bid stage, sites are inspected and bids in respect of only those sites which are found suitable,  are processed further. Tenders are allotted to the lowest bidders. Non railway siding based godowns are to be constructed in one year whereas godowns with railway siding are allowed two years construction period. This period can be extended by one year at the request of the investor. After completion of the godown, final inspection is carried by a joint committee of FCI and the Nodal agency and godowns completed in all respects and as per specifications are taken over on guarantee basis.

   A Plan Scheme for construction of godowns by FCI in the North Eastern States and other states is being implemented .  Under this scheme, capacity of 3,68,950 MT is being created during 12th Five Year Plan (2012-17).  The capacity completed in the last two years (2012-13 and 2013-14) is 27,070 MT.


 Silos are proposed to be constructed under PEG scheme for 20 lakh MT capacity at 41 locations. Efforts   are being made to float tenders in FY 2014-15.  Construction work will commence after finalization of tenders

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States Requested to Ensure Implementation of Food Security Act within Next Three Months
The Center has started allocation of foodgrains to 11 States/UTs under National Food Security Act, 2013 (NFSA) based on the identification of beneficiaries by the state. Out of these, in 6 States, namely Chhattisgarh, Haryana, Karnataka, Maharashtra, Punjab and Rajasthan, complete identification as per coverage under the Act has been reported and in the remaining 5 States/UTs, namely Bihar, NCT of Delhi, Himachal Pradesh, Madhya Pradesh and Chandigarh, identification is partial. Government of Uttarakhand has also reported completion of identification of beneficiaries. Remaining States/UTs have been requested to complete the identification at the earliest and ensure implementation of the Act within next three months, after completing other preparatory measures. This information was given by the Minister of State for Consumer Affairs, Food and Public Distribution, Shri Raosaheb Patil Danve in a written reply in Lok Sabha today .

. The Government notified the National Food Security Act, 2013 (NFSA) on 10.09.2013, which aims to provide for food and nutritional security in human life cycle approach, by ensuring access to adequate quantity of quality food at affordable prices to people to live a life with dignity. The Act provides for coverage of upto 75% of the rural population and upto 50% of the urban population of the country for receiving foodgrains at subsidised prices of Rs. 3, 2 & 1 per Kg for rice, wheat & coarse grains respectively under Targeted Public Distribution System (TPDS). There is also a special focus in the Act on nutritional support to pregnant women and lactating mothers and children upto 14 years of age.Implementation status of the Act is reviewed on a regular basis and necessary advisories are issued to States/UTs, wherever required. 

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