Major Recommendations on FCI Revamp
The high-level committee headed by Shri Shanta Kumar for restructuring of the Food Corporation of India (FCI) has submitted its report.
Major recommendations of Committee:
- FCI to outsource all procurement operations to States that have gained sufficient experience.
- FCI to move to the Eastern UP, Bihar, West Bengal, Assam etc. where small and marginal farmers suffer most from distress sale.
- Quality check through transparent and mechanical process.
- Outsourcing of stocking operations to CWC, SWCs, private sector under PEG scheme on competitive basis.
- Convert old conventional storages to Silos.
- Gradually phase out cover and plinth (CAP) with no grain stocks remaining in CAP for more than three months.
- Mechanization of operations in Food Storage Depots.
Introduce a pro-active liquidation policy to off-load stocks in the market whenever they are in excess of buffer norms and greater flexibility to FCI needed to operate in OMSS and export markets.
- De-notification of depots, fixing ceiling on incentives per worker and VRS to Departmental Labour.
- Condition of contract labour should be improved by giving them better facility.
- FCI to reorient into an agency for innovation in foodgrain management system.
- Use of HDPE rather than jute bags for packaging. End to End Computerization of food management system – Automation of FCI Operations.
Its now upto the centre to decide which recommendations are worth implementing.