Lok Sabha Question No. 92 (UNSTARRED), answered on 2015-07-21
Subject: Sale of Damaged Foodgrains
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: CHAND NATH

## MINISTRY OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION

## GOVERNMENT OF INDIA DEPARTMENT OF FOOD AND PUBLIC DISTRIBUTION

## LOK SABHA UNSTARRED QUESTION NO. 92

## TO BE ANSWERED ON 21 ST  JULY, 2015

## SALE OF DAMAGED FOODGRAINS

92. SHRI CHAND NATH:

Will  the  Minister  of  CONSUMER  AFFAIRS,  FOOD  AND  PUBLIC DISTRIBUTION miHkksDrk ekeys] [kk| vkSj lkoZtfud forj.k ea=h be pleased to state:

- (a) whether the Government proposes to sell damaged foodgrains lying in the godowns of Food Corporation of India (FCI) in open market at lower rates;
- (b) if so, the details thereof;
- (c) the details and the total quantum of damaged foodgrains lying in the godowns of FCI, State-wise; and
- (d) the  steps  proposed  to  be  taken  by  the  Government  to  ensure  safe storage of foodgrains in FCI godowns?

## A N S W E R MINISTER OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION

(SHRI RAM  VILAS PASWAN)

- (a)  &  (b):  Yes  Madam,  the  details  of  the  guidelines  issued  by  the  Food Corporation  of  India  (FCI)  for  disposal  of    damaged    foodgrains  are  at Annexure-I.
- (c):   The details of quantum of damaged foodgrains lying in the godowns of FCI as on 01.07.2015, State-wise, are at Annexure-II.
- (d):   The details of steps taken by the government to ensure safe storage of foodgrains in FCI godowns are at Annexure-III.

****

ANNEXURE  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  &  (b)  OF  THE UNSTARRED QUESTION NO. 92  DUE FOR ANSWER ON 21.07.2015 IN THE LOK SABHA

FCI  has  a  set  procedure  for  disposal  of  damaged  foodgrains. On identification of damaged food grains, three tier categorization of  damaged  lots  is  carried  out  at  Depot  level,  Regional  level  and Zonal level. The categorization of damaged foodgrains is treated as final  only  on  the  receipt  of  categorization  reports  of  Regional Categorization Committee (RCC) and Zonal Categorisation Committee (ZCC) by the General Manager (Region). Categorization of damaged foodgrains is based on

the percentage of sound grain as under:-

Category :  percentage of sound grains other than foreign matter & damaged foodgrains

Feed-I : rice)

85% to less than 94% (in wheat)/ 95% (in

Feed-II

: 70% to less than 85%

Feed-III :

55% to less than 70%

Industrial Use :

30% to less than 55%

Manure Use

: 10% to less than 30%

Dumping :

less than 10% (to be offered as Manure before

dumping)

2. GM (Region)  is  competent  authority  for  disposal  of  damaged foodgrains for quantity where the price received in the tender/auction  is  above  the  reserve  price.  Wherever,  the  rates  of damaged foodgrains  received  in  tender  inquiry/  auction  are  below the  reserve  price,  such  rates  are  invariably  approved  by  the  next higher  authority  i.e.  Executive  Director  (Zone).      GM  (Region)  can dispose damaged foodgrain under Rate Running Contract but if at any  time  accrual  is  more  than  500  MT,  it  is  disposed  off  through tenders only.

3. The Reserve Price of damaged foodgrain is as under:-
2. (I) Feed -I 60% of MSP of the Crop Year for Wheat. 60% of derived MSP of the Crop Year for Rice.

(II) Feed-II 50% of MSP of the Crop Year for Wheat. 50%  of  derived  MSP  of  the  Crop  Year for Rice.

(III) Feed-III 40% of MSP of the Crop Year for Wheat. 40% of derived MSP of the Crop Year for Rice. (IV) Industrial Use -  30% of MSP of the Crop Year for Wheat. 30% of derived MSP of the Crop Year for Rice.

(V) Manure 10% of MSP of the Crop Year for Wheat. 10% of derived MSP of the Crop Year for Rice.

***

## ANNEXURE REFERRED TO IN REPLY TO PART  (c)  OF  THE  UNSTARRED QUESTION NO. 92  DUE FOR ANSWER ON 21.07.2015 IN THE LOK SABHA

| REGION-WISE COMMODITY WISE STOCK POSITION OF NON-ISSUABLE FOODGRAINS AS ON 01.07.2015   | REGION-WISE COMMODITY WISE STOCK POSITION OF NON-ISSUABLE FOODGRAINS AS ON 01.07.2015   | REGION-WISE COMMODITY WISE STOCK POSITION OF NON-ISSUABLE FOODGRAINS AS ON 01.07.2015   | REGION-WISE COMMODITY WISE STOCK POSITION OF NON-ISSUABLE FOODGRAINS AS ON 01.07.2015   | REGION-WISE COMMODITY WISE STOCK POSITION OF NON-ISSUABLE FOODGRAINS AS ON 01.07.2015   | REGION-WISE COMMODITY WISE STOCK POSITION OF NON-ISSUABLE FOODGRAINS AS ON 01.07.2015   |
|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|
| NAME OF THE REGION                                                                      | WHEAT                                                                                   | RICE                                                                                    | PADDY                                                                                   | OTHERS                                                                                  | TOTAL                                                                                   |
| EAST ZONE                                                                               |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |
| BIHAR                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| JHARKHAND                                                                               | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| ORISSA                                                                                  | 16.214                                                                                  | 7.140                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 23.354                                                                                  |
| WEST BENGAL                                                                             | 0.450                                                                                   | 12.330                                                                                  | 0.000                                                                                   | 0.000                                                                                   | 12.780                                                                                  |
| **ZONE TOTAL**                                                                          | 16.664                                                                                  | 19.470                                                                                  | 0.000                                                                                   | 0.000                                                                                   | 36.134                                                                                  |
| NE ZONE                                                                                 |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |
| ASSAM                                                                                   | 0.000                                                                                   | 36.792                                                                                  | 0.000                                                                                   | 0.000                                                                                   | 36.792                                                                                  |
| ARUNACHAL PRADESH                                                                       | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| NEF(MEGH./MIZO/T.PURA)                                                                  | 472.994                                                                                 | 114.595                                                                                 | 0.000                                                                                   | 0.000                                                                                   | 587.589                                                                                 |
| MANIPUR                                                                                 | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| NAGALAND                                                                                | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| **ZONE TOTAL**                                                                          | 472.994                                                                                 | 151.387                                                                                 | 0.000                                                                                   | 0.000                                                                                   | 624.381                                                                                 |
| NORTH ZONE                                                                              |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |
| DELHI                                                                                   | 3.700                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 3.700                                                                                   |
| HARYANA                                                                                 | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| HIMACHAL PRADESH                                                                        | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| JAMMU &KASHMIR                                                                          | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| PUNJAB                                                                                  | 0.958                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.958                                                                                   |
| RAJASTHAN                                                                               | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| UTTAR PRADESH                                                                           | 10.876                                                                                  | 15.435                                                                                  | 0.000                                                                                   | 0.000                                                                                   | 26.311                                                                                  |
| UTTRAKHAND                                                                              | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| **ZONE TOTAL**                                                                          | 15.534                                                                                  | 15.435                                                                                  | 0.000                                                                                   | 0.000                                                                                   | 30.969                                                                                  |
| SOUTH ZONE                                                                              |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |
| ANDHRA PRADESH                                                                          | 491.257                                                                                 | 1421.708                                                                                | 0.000                                                                                   | 0.000                                                                                   | 1912.965                                                                                |
| KERALA                                                                                  | 0.000                                                                                   | 3.189                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 3.189                                                                                   |
| KARNATAKA                                                                               | 28.787                                                                                  | 21.993                                                                                  | 0.000                                                                                   | 0.000                                                                                   | 50.780                                                                                  |
| TAMIL NADU                                                                              | 15.040                                                                                  | 5.736                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 20.776                                                                                  |
| **ZONE TOTAL**                                                                          | 535.084                                                                                 | 1452.626                                                                                | 0.000                                                                                   | 0.000                                                                                   | 1987.710                                                                                |
| WEST ZONE                                                                               |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |
| GUJARAT                                                                                 | 25.672                                                                                  | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 25.672                                                                                  |
| MAHARASHTRA                                                                             | 3.368                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 3.368                                                                                   |
| MADHYA PRADESH                                                                          | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   |
| CHHATTISGARH                                                                            | 8.073                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 8.073                                                                                   |
| **ZONE TOTAL**                                                                          | 37.113                                                                                  | 0.000                                                                                   | 0.000                                                                                   | 0.000                                                                                   | 37.113                                                                                  |
| **COUNTRY TOTAL**                                                                       | 1077.389                                                                                | 1638.918                                                                                | 0.000                                                                                   | 0.000                                                                                   | 2716.307                                                                                |

## #  NI Wheat STOCK WITH STATE AGENCEIS:

|   PUNJAB |   HARYANA |
|----------|-----------|
|   495094 |     92621 |

## ANNEXURE REFERRED TO IN REPLY TO PART  (d)  OF  THE  UNSTARRED QUESTION NO. 92  DUE FOR ANSWER ON 21.07.2015 IN THE LOK SABHA

## STEPS  TAKEN  TO  ENSURE  SAFE  STORAGE  OF  FOODGRAINS  IN  FCI GODOWNS:

The following precautionary and remedial steps are mandated to be followed by  F.C.I.  and  State  Government  agencies  for  proper  upkeep  and  quality  to  check damages to central pool stocks of foodgrains:

- (i) The  Government  has  formulated  Private  Entrepreneurs  Guarantee  (PEG)  scheme  for construction of storage capacity through Private Entrepreneurs, CWC, SWCs and other State agencies.
- (ii) Various  steps  are  being  taken  by  FCI  to  modernize  its  existing  storage  capacity  by construction of modern silos on PPP mode with the provision of Viability Gap Funding.
- (iii) All godowns are to be constructed as per specifications.
- (iv) Foodgrains are to be stored by adopting proper scientific code of storage practices.
- (v) Adequate dunnage materials such as wooden crates, bamboo mats, polythene sheets are to be used to check migration of moisture from the floor to the foodgrains.
- (vi) Fumigation  covers,  nylon  ropes,  nets  and  insecticides  for  control  of  stored grain insect pests are to be provided in all the godowns.
- (vii) Prophylactic (spraying of insecticides) and curative treatments (fumigation) are to be carried out regularly and timely in godowns for the control of stored grain insect pests.
- (viii) Effective  rat  control  measures,  both  in  covered  godowns  as  well  as  in  CAP storage are to be used.
- (ix) Foodgrains in 'Cover and Plinth' (CAP) storage are to be stored on elevated plinths and wooden crates are to be used as dunnage material. Stacks are to be properly  covered  with  specifically  fabricated  low-density  black  polythene water -proof covers and tied with nylon ropes/nets.
- (x) Regular  periodic  inspections  of  the  stocks/godowns  are  to  be  undertaken  by qualified and trained staff and all senior officers.
- (xi) The  principle  of  'First  in  First  Out'  (FIFO)  is  to  be  followed  to  the  extent possible so as to avoid longer storage of foodgrains in godowns.
- (xii) Only covered rail wagons are to be used for movement of foodgrains so as to avoid damage during transit.

***