In a latest update, the Indian government has announced a Rs 1 lakh-crore plan to build the world’s largest grain storage capacity in the country in the cooperative sector.
Creating World’s Largest Grain Storage Capacity In India
On Wednesday, the Union Cabinet approved the constitution and empowerment of an Inter-Ministerial Committee (IMC) for facilitation of the “world’s largest grain storage plan in the cooperative sector”.
This is made possible by convergence of various schemes of the Ministries of Agriculture and Farmers Welfare, Consumer Affairs, Food and Public Distribution and Food Processing Industries.
They have approved an inter-ministerial committee under Union Minister of Cooperation Amit Shah’s chairmanship to facilitate the plan.
The world's largest food storage scheme has been approved in the co-operative sector today. This scheme will be implemented at the cost of Rs 1 lakh crore. Under this scheme, a godown of a capacity of 2000 tonnes will be constructed in every block. An inter-ministerial committee… pic.twitter.com/wGnvbzyct1
— ANI (@ANI) May 31, 2023
Implementation And Planning
In order to ensure the timely and uniform implementation of the plan in a professional manner, the Ministry of Cooperation would implement a pilot project in at least 10 selected districts of different States, a government statement said.
Further, this committee will lay guidelines for creation of infrastructure such as godowns, for agriculture and allied purposes, at selected ‘viable’ Primary Agricultural Credit Societies (PACS).
They plan to utilize the available outlays provided under the identified schemes of the respective Ministries for implementation.
How Does This Help?
“Lack of agricultural storage capacity leads to wastage of food grains and farmers are forced to sell their crops at low prices. With this decision, farmers will now get modern grain storage facilities in their blocks through PACS, so that they will be able to get fair prices for their grains,” said Shah in a tweet, while welcoming the decision.
He emphasized that PACS were an important pillar of the rural economy.
Further adding,“With this plan, the country will get food security and crores of farmers associated with cooperatives will be benefited. This plan will enable PACS to not only provide storage facilities but also undertake many other activities, such as Fair Price Shop and Custom Hiring Centres.”
With this implementation, the farmers could sell their crops to PACS by receiving some advance payment at the Minimum Support Price, and get the balance after the PACS sold the food grains in the market, as per the statement.
Beside this, the farmers would also be able to store their crops in the warehouses managed by PACS.
This way, they could get the finance for the next crop cycle and sell their crops at the time of their choice or could sell their entire crop to PACS at minimum support price.
