In a significant move to improve agricultural infrastructure, the Indian government has officially approved the ‘World’s Largest Grain Storage Plan in Cooperative Sector’.
Announced on May 31, 2023, this plan is a strategic step to enhance food security by addressing challenges related to grain wastage and inefficient storage.
The project will establish various agricultural facilities, including storage godowns, custom hiring centers, and processing units, at the Primary Agricultural Credit Societies (PACS) level.
The government will use existing schemes, such as the Agriculture Infrastructure Fund (AIF) and the Agricultural Marketing Infrastructure Scheme (AMI), to fund and implement the initiative.
Through these schemes, the government aims to bolster food security and ensure efficient management of food grains.
The government has already completed the construction of storage facilities across 11 states, totaling 9,750 MT of storage capacity.
The decentralized approach allows farmers to store their grains more securely, thereby reducing wastage and enabling better market prices.
These storage units will also serve as procurement centers and Fair Price Shops (FPS), further minimizing transportation costs associated with food grain distribution.
The successful establishment of godowns in various states has contributed to the project’s goal of creating a robust decentralized storage network. The completed facilities include:
These 11 completed godowns collectively provide 9,750 MT of storage capacity, significantly contributing to the decentralization of grain storage.
Building on the success of the pilot project, the Indian government has laid the foundation stones for an additional 500 PACS.
In total, 575 PACS have been identified for development across various states and Union Territories.
The initiative is guided by a Margdarshika (Standard Operating Procedure), which outlines the procedures for establishing these PACS.
In Karnataka, 128 PACS have already been formed, with plans to complete 218 PACS by the end of the fiscal year 2028-29.
This ambitious grain storage plan is a crucial step towards improving India’s agricultural infrastructure. It aims to address grain wastage and ensure long-term food security.
By providing farmers with the necessary tools to store their produce effectively.
The initiative promises to transform the agricultural landscape, boost local economies, and enhance food security for millions of Indians.
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