FCI to get Rs 10,300 cr dues from govt on grain purchase
Food Corporation of India (FCI) is set to receive dues of Rs 10,300 crore, in principal and interest, from the central government through supplementary Budget allocations in the revised estimate for 2007-08 and 2008-09.
By TNN |
NEW DELHI: Food Corporation of India (FCI) is set to receive dues of Rs 10,300 crore, in principal and interest, from the central government through supplementary Budget allocations in the revised estimate for 2007-08 and 2008-09.
A decision by the Cabinet Committee on Economic Affairs (CCEA) on Thursday to square out a chunk of overall dues did not spell out what route the payment to FCI would take.
One expectation is that government will issue bonds to pay up the dues that work out to Rs 17,700 crore up to May 31 this year. These dues are primarily on account of grain bought by various government departments for welfare schemes, such as the midday meals, the SGRY and the NFFWP.
“That (mode of payment) has not been decided. We have resolved the amount now and that is Rs 10,300 crore of principal and interest thereon,” finance minister P Chidambaram told presspersons after the Cabinet meeting.
The CCEA also approved the development of an Offshore Container Terminal (OCT) on build, operate and transfer (BOT) basis at the Mumbai port at an estimated cost of Rs 1,228 crore.
“The Cabinet Committee on Economic Affairs approved the development of offshore container terminal at Mumbai port, under license agreement to be entered into by Mumbai Port Trust (MPT) with the BOT operator,” Mr Chidambaram said.
MBT is expected to enter into a licence agreement with a consortium of Gammon India, Gammon Infrastructure and Dragados SPL of Spain. The investment by the BOT operator would be Rs 862 crore and the investment by the port to carry out works under their scope would be Rs 366.39 crore. The capacity addition due to implementation of this project would be Rs 9.6 million tonnes per annum.
A decision by the Cabinet Committee on Economic Affairs (CCEA) on Thursday to square out a chunk of overall dues did not spell out what route the payment to FCI would take.
One expectation is that government will issue bonds to pay up the dues that work out to Rs 17,700 crore up to May 31 this year. These dues are primarily on account of grain bought by various government departments for welfare schemes, such as the midday meals, the SGRY and the NFFWP.
“That (mode of payment) has not been decided. We have resolved the amount now and that is Rs 10,300 crore of principal and interest thereon,” finance minister P Chidambaram told presspersons after the Cabinet meeting.
The CCEA also approved the development of an Offshore Container Terminal (OCT) on build, operate and transfer (BOT) basis at the Mumbai port at an estimated cost of Rs 1,228 crore.
“The Cabinet Committee on Economic Affairs approved the development of offshore container terminal at Mumbai port, under license agreement to be entered into by Mumbai Port Trust (MPT) with the BOT operator,” Mr Chidambaram said.
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MBT is expected to enter into a licence agreement with a consortium of Gammon India, Gammon Infrastructure and Dragados SPL of Spain. The investment by the BOT operator would be Rs 862 crore and the investment by the port to carry out works under their scope would be Rs 366.39 crore. The capacity addition due to implementation of this project would be Rs 9.6 million tonnes per annum.
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