Lok Sabha Question No. 875 (UNSTARRED), answered on 2024-02-07
Subject: Strengthening of FCI
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: Ramdas Chandrabhanji Tadas

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## GOVERNMENT OF INDIA

## aINISTRY OF CONSUMER AFFAIRSI FOOD & PUBLIC DISTRIBUTION DEPARTMENT OF FOOD AND PUBLIC DISTRIBUTION

## LOK SABHA UNSTARRED QUESTION NOn875 TO BE ANSWERED ON 7TH FEBRUARY, 2024

## STRENGTHENING OF FCI

t875. SHRI RAMDAS C. TADAS:

Will the Minister of CONSUMER AFFAIRS,  FOOD  AND  PUBLIC DISTRIBUTION aT$freT qua,  VFR at  WTbTf+F f+Tor ;Ht be pleased  to state:

- (a) whether any new plan is being made to further strengthen the Food Corporation of  India (FC:1) and any committee has been formed for this purpose;
- (b) if  so, the  details thereof along with  the  main observation and recommendations made by  the  Committee and the  response of  the Government thereto;  and
- (c) the various other steps taken or being taken by the Government to streamline FC:1 and make it  more effieient in  preventing leakages and
- losses of grains?

## ANSWER MINISTER OF STATE FOR MINISTRY OF RURAL DEVELOPMENT AND CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION (SADHVI NIRANJAN JYOTI)

(a) to (c): The strengthening of  Food Corporation of  India (FOI) through modernization and reforrns is  an ongoing and continuous process.  Several steps have been taken to  streamline Fei and make it  more efficient  in preventing losses and leakages of foodgrains. Details are at annexure.

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ANNEXURE REFERRED TO IN REPLY TO PART (a) TO (c) OF THE UNSTARRED QUESTION NO.875 FOR ANSWER ON 07.02.2024 IN THE LOK SABHA.

## Digital Transformation

- Food-grain procurement operations across the country have  been computerized ensuring transparency and quicker services to farmers.
- One Nation, one MSP through DBT has been implemented ensuring direct online payment to all farmers.
- Total workflows of the organization has been  digitized through implementation  of e-Office and Depot Online System (DOS).
- Linking of rice mills with  depots for delivery of rice and allocation of space at individual warehouses has been digitized ensuring absolute transparency in the procurement process,
- A  Vehicle  Location  Tracking  System  (VLTS) has  been  implemented ensuring real time tracking of trucks carrying food grains.

## Standardization and

## lodernization of Storage facilities

-  Third party assessment of  556 warehouses of  Fei was done by Quality Council of India. Accordingly, an action  plan was prepared for upgradation of warehouses. 479 FOI owned depots are upgraded to 5 star and above category.
- 180 LMT of Covered and Plinth  (CAP) storage  has been phased out.
- Construction of silos  under Private Partnership Mode (PPP) Mode.
- Warehousing Development Regulatory Authority  (WDRA) CertificationTo standardize Fei owned godowns, certification  of 552 warehouses of  FOI have  been  obtained  from  WDRA.
- All Food storage godowns have been designed on the BIS/CPWD specifications to keep buffer stocks in good condition all the time.

## Grievance Redressal Mechanism

- Whistle blower policy  framed and circulated  to address the issues of internal stake holders.
-  Dedicated Call centre is set up for addressing grievances of all external  stake  holders.

## Operational Reforms

-  Departmentalized labour across the  country was  rationalized achieving an annual saving of about Rs. 600 Cr

- Operational losses brought down substantially as under:
- a.  Storage Losses in rice brought down from O.39% in 2013-14 to O.10%
- in 2022-23.
- b. Transit Losses in  rice brought down  from O.58%  in  2013-14 to  O.26%
- in 2022-23
- c. Transit Losses in wheat brought down from O.35% in 2013-14 to O.173/o in 2022-23.
- A chemical based solution developed to address the menace of recycling of rice. ·
- Mechanization of Warehouse operations-The provision of mandatory mechanized handling was  introduced w.e.f.  11.04.2023 for  new contracts,
- to encourage innovation and modernization of operations.

## leasures taken  to reduce  Storage  Losses

- Periodic prophylactic and curative treatment of  foodgrains stocks is undertaken to keep them free from pests/infestations  i.e. to minimize losses
- due to biotic factors.
- Depots exhibiting high storage losses are inspected at  the  level of  ED
- (Zones), GM (Regions) and other  senior officers  regularly.
- CCTV cameras are installed  in owned depots for  better surveillance and supervision.
- Physical measures like  installation  of barbed wire  fencing of the boundary walls, provision of streetlights for  illumination of  godowns and proper
- looking of the sheds are taken to secure the godowns.
- Security staff  of FC:1, Home Guards and other external  agencies are being
- deployed at FCI depots to ensure safety and security of the stock.
- Disciplinary action is initiated  against  delinquents wherever
- abnormal/unjustified losses are reported after due investigation.

## leasures taken to reduce Transit Losses (TL)

- Investigation of  High Transit Losses at  HQ/Zone/Region/District  levels at regular intervals. Further, Joint Verification (JV) of high Transit Loss cases are undertaken to fix responsibility. The lower limit of TL for JV's has been
- reduced from  la/, to O.75'/, and further  O.500/, w.e.f. Of.IO.2022.
- Spreading of Polythene Sheet on the floor of railway  wagons to retrieve the spilled-over grains.
- Implementation of  high security  cable seals on  wagons at  the  time  of loading of foodgrains to avoid tampering/en-route pilferage w.e.f Of.Of.2022. This led  to 92%  reduction in  number  of  Rakes  reporting abnormal Transit  Losses i.e. more than O.5%.

- ·
- lade-up bags accrued at railhead are being accounted.
- Deployment of  Independent  Consignment Certification Squad (Ices)  at the time  of loading/unloading.
- Only covered rail  wagons are used for movement of foodgrains to avoid damage during transit.

## Additional steps taken by FC:1 to prevent wastage of foodgrains

- Foodgrains  are stored by  adopting proper scientific code of  storage practices.
- Adequate dunnage materials  such  as  wooden crates,  bamboo mats, polythene sheets are used to check migration of moisture from the floor to the foodgrains.
- Fumigation covers, nylon ropes, nets and insecticides for control of stored grain insect pests are provided in all the godowns.
- Effective rat control measures are taken.
- Regular periodic  inspections  of  the  stocks/godowns are  undertaken by qualified and trained staff  and senior officers  to  monitor the  health of foodgrains.
- The principle of 'First  in First Out' (FIFO) is followed to avoid longer storage of foodgrains in godowns.
- Damage Monitoring Cells have been set  up at  District,  Regional and Zonal levels to regularly monitor quality of stocks and reduce damages.
- Identification and repair all the leakage point on the roof is  done periodically.
- Periodic cleaning  of drainages in the godown premises.
- Ensuring no seepage and clogging up of water  in the godowns.
- Replacement of  the  Roofing sheet  of  the  Godowns from  old  Asbestos Sheets to  Colour Coated Profile Sheets to  prevent leakage that  was caused due to breakage and wear and tear of the ACC sheets. Further to this, the  new under construction godowns are being constructed with truss-less sheet roofing, which  has additional advantage of  providing increased storage capacity by increasing the stack  height of Food.
- Installation of the turbo-ventilators in the Godowns to create flow of fresh air in the Godown Compartments for better storage conditions.

+: Rick+