Restructuring Of FCI

The Government has decided to set up a High Level Committee (HLC) of distinguished persons and experts to recommend restructuring of FCI after considering various aspects of present structure and functional areas of the organization and consulting various stakeholders.    The composition of the Committee is as follows:-

 

The terms of reference of the HLC are as under:-

• To examine the present day administrative, functional and financial structure of FCI and modus operandi of its various operations.
• To study various models of restructuring or unbundling of and to suggest a best suited model for restructuring or unbundling of FCI to improve its operational efficiency and financial management.
• To suggest measures for overall improvement in management of foodgrains by FCI.
• To define or give suggestions to reorient the role and functions of FCI in MSP operations, storage and distribution of foodgrains and food security systems of the country.
• To suggest a way forward for strengthening and integration of supply chain of foodgrains in the country.
• To suggest most efficient and cost effective model from the point of view of storage and least cost option of moving grains.
• To recommend scientific model of storage.
• To recommend rationalised mode of moving grains including tracking of carriage.
• To suggest the upgradation of technology in management of foodgrains.

The HLC will prepare a Consultation Paper relating to its TORs for circulation among the various stake holders as well as placing it in public domain to invite comments/suggestions.  The HLC may visit a few States of both DCP and non-DCP category and will take evidence from State Government authorities, farmers, various players of foodgrains supply chain, public persons etc.   

The Food Corporation of India (FCI) is vested with vital responsibilities of the Government, such as procurement, management of Central Pool stocks and distribution of foodgrains to State Government Agencies for various food security programmes. It is commonly perceived that FCI is plagued today with several functional and cost inefficiencies, which need to be removed for efficient management of foodgrains and saving costs.

HLC will submit its report to the Government within a period of three months.

Keywords: Food Corporation Of India, FCI restructuring, FCI India,fci structure, structure of food corporation India