India 2018

272 India 2018
15
Food and Civil Supplies
THE primary objective of the Department of Food and Public Distribution is
to ensure food security for the country through: efficient procurement at
Minimum Support Price (MSP), storage and distribution of foodgrains;
ensuring availability of foodgrains, sugar and edible oils through appropriate
policy instruments; including maintenance of buffer stocks of foodgrains;
making foodgrains accessible at reasonable prices, especially to the weaker
and vulnerable sections of society under a Targeted Public Distribution
System.
Procurement of Foodgrains
Food Corporation of India (FCI), with the help of state government agencies,
procures wheat, paddy and coarse grains in various states in order to
provide price support to the farmers. Before each Rabi/Kharif crop season,
central government announces the Minimum Support Prices (MSP), based
on the recommendations of Commission for Agricultural Costs and Prices
(CACP), which takes into consideration the cost of various agricultural
inputs and the reasonable margin for the farmers for their produce. Details
of number of procurement centres to be opened and arrangements like
purchase of packaging material and storage space are also kept in line.
Sufficient numbers of procurement centres are opened by FCI/state
government agencies in mutual consultation before onset of procurement
season, keeping in view the procurement potential and geographical spread
of the state concerned. Review is made from time to time on the need for
additional procurement centres, if any, during the procurement season and
required additional procurement centres are also opened. State governments
are encouraged to adopt decentralised procurement (DCP) system of
procurement so as to maximise procurement, reduce transportation and
increase the reach of MSP operations. Under this system, state governments
undertake procurement and distribution of foodgrains by themselves.
Procured quantities in excess of state's requirement are taken in the Central
Pool for distribution elsewhere.
With the substantial increase in production of foodgrains in recent
years and with an emphasis on bringing Green Revolution in Eastern-India,
the procurement operations have expanded to many states due to which
accumulated Central Pool Stock of foodgrains had reached to a record level
of 805.16 lakh tonnes in 2012 against the buffer norm of 319 lakh tonnes.
Therefore, a balanced policy approach for procurement, distribution and
disposal of foodgrains is now being adopted to provide adequate price