Lok Sabha Question No. 1817 (UNSTARRED), answered on 2021-12-08
Subject: Corruption in Procurement of Paddy
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: Khan Saumitra

## GOVERilMENT OF INDIA MtNtsTRy oF GONSUMER AFFAIRS, FOOD &  pUBLIc  DTSTRIBUTTON DEPARTMENT OF FOOD AND PUBLIG DISTRIBUTION

## LOK SABHA UNSTARRED QUESTIO]{  NO.T817 TO BE AI{SWERED OI{ 8rH DECEMBER,2O2{

## GORRUPTION IN PROCUREMENT  OF PADDY

## {8'7. SHRI SAUIVIITRA KHAN:

Will the Minister of GONSUMER AFFA|RS, FOOD AND PUBLIC DISTRTBUTION  Tcc+rar rnrd, ur6+ sit{ Tnffi6. Ftrrq *+ be pteased to state:

- (a)  the details of the complaints received regarding the irregularities and corruption  in procurement  of paddy across the country, especially from the State of West Benga!;
- (b) the reasons  for these irregularities;  and
- (c)  the corrective steps taken/being taken by the Governrnent  in this regard?

ANSWER MINISTER OF STATE FOR MINISTRY  OF RURAL DEVELOPMENT AND coNsuMER AFFATRS, FOOD &  pUBLtC  D|STRTBUTION (sADHVt  NTRANJAN JYOTT)

- (a): Gomplaints received by Food Gorporation  of lndia during last three years and current year including state of West Bengal are as unden

| Year               | No. of complaints across the country (excluding the State of West Bengal)   | No. of complaints of West Benga!)   |   Total complaints |
|--------------------|-----------------------------------------------------------------------------|-------------------------------------|--------------------|
| 20,t8-'t9          | I                                                                           | o                                   |                  8 |
| 2(J19-2()          | 3                                                                           | o                                   |                  3 |
| 2020.21            | 6                                                                           | o                                   |                  6 |
| 2021-22 (till Oct) | 7                                                                           | o                                   |                  7 |

- (b): The main reasons are irregutarities in operation of procurement centres, irregularities  of bogus purchase, transpottation  of paddy at higher rates and delay in payment  of Minimum Suppott  price  (MSp) to fanners by private player engaged in paddy procurement.
- (c): The complaints rerated to paddy procurement  are investigated  and action taken in accordance with prescribed procedure  in this regard. Further, the following initiatives/measures  have been taken by the Government in streamtining the  procurement  Operations:
- i) Direct Benetit rransfer  (DBT) of MSp has been imptemented across the country. This has brought in responsibility, transparency, rear tame monitoring and reduces pilferage  in the system. DBT eliminates purchase from fictitious  bogus farmers, reduces diversion and duplication of payment  as payment is made direcfly to farmey's bank account which in many States is linked with Aadhaar number  of the farmers.
- ii) FGI and most of the state Governments  have devetoped  their own online procurement  system which usherc in  transparency  and convenience  to the farmers through proper  registration and monitoring of actual procurement,  The online procurement system has largely eliminated the procurement  from middlemen and has resulted  in better targeting of the MSP to farmers.
- (iii)  The state agencies have to also ensure the use of Expenditure Advance Transfer module (EAT) of  public  Financial Module  system (pFMs) while making payment, as mandated by the Ministry of Finance, GOt by integrating  their online payment system with  pFMS  to maintain financial integrity.
- iv) Minimum support Price (MSp) operations are given wide pubricity through pamphlets,  banners, sign boards, radioi Tv and advertisements through print & electronic media.
- v) Farmers are made aware of the quality specifications and purchase system, etc. to facilitate bringing their produce conforming to the specifications.
- vi) Procurement centres are opened by respective state Government Agencies/  Food Corporation of lndia, taking into account  the production, marketable surplus, convenience of farmers and availabitity  of other logistics  / infrastructure  such as storage and transportation,  etc. Large number of temporary purchase  centres, in addition to the existing Mandis and depots/godowns  are also estabtashed at  key points for  the convenience of farmers-