Punjab CM to raise issue of FCI’s withdrawal from food procurement with Centre

Tribune News Service
Chandigarh, January 22

Expressing concern over the Food Corporation of India’s gradual withdrawal from procurement of food grains in the state, Punjab Chief Minister Capt Amarinder Singh has decided to raise the issue with the Centre and seek increase in the central agency’s procurement share.

The chief minister said this while chairing a high-level meeting to review the procurement arrangements for the forthcoming rabi season.

Capt Amarinder said he would ask the union food minister to increase the share of FCI in state procurement, which he pointed out had declined from 30.69 per cent to a mere 12 per cent in the last 20 years.

He also highlighted that in the last ten years, FCI had been pulling back at the last minute from procuring even the quota decided at the start of the season.

FCI, being the primary central agency mandated to ensure food stocks for the nation, should remain actively involved in the food procurement process, Capt Amarinder said.

The last-minute refusal by FCI to not procure its earlier decided share always puts additional burden on the state’s finances, the chief minister added.

He also gave in-principle approval to withdraw four state procurement agencies — MARKFED, PUNSUP, PSWC and Punjab State Agro Industries (PAIC) — from procurement related operations in a phased manner, beginning with PAIC.

The move is aimed at enabling these state procurement agencies to solely focus on their original mandate of promoting agro-based products and cooperative movements. 

Further, with a view to seeking early redressal of long pending food procurement issues with the Central Government, Capt Amarinder said he would be writing to the union finance minister and the union food minister, seeking a joint meeting.

Underscoring the fact that despite the state being forced to take over a colossal Rs 31,000 crores CCL gap as term loan, the structural issues between the state and the Centre remain unresolved, Capt Amarinder stated that he would request the Modi government to resolve all pending issues for once and all at the earliest.

Lauding the state Food Department for ensuring four back-to-back seamless procurement operations since the present government took over, Capt Amarinder asked the food secretary to impress upon GoI to hasten the process of grain stock movement to create more space for the storage of wheat during the ensuing RMS 2019-20.

Emphasising the need to make elaborate arrangements for forthcoming rabi season, he also directed the food supplies minister to gear up their entire staff for timely, smooth and hassle free procurement to win over the confidence of the farmers.

Expressing concern over the financial loss suffered by the state on account of spoilage, the chief minister also asked the department to undertake effective steps for scientific storage of food grains. 

The state expects to procure 130 LMT of wheat during the RMS 2019-20, out of which state procurement agencies will procure 104 LMTs wheat, secretary food and supplies apprised the meeting.