Committee on Food Corporation of India restructuring seeks 2-month extension

NEW DELHI: A high-level committee set up to study restructuring of state-run FCI has sought an extension of two months for submitting its report.

Food Corporation of India (FCI) is government's nodal agency for procurement, storage and distribution of foodgrains.

"A high level committee under the chairmanship of Shanta Kumar has been set up to study the need for restructuring Food Corporation of India (FCI) to improve its operational and financial efficiency," Food Minister Ram Vilas Paswan said in Lok Sabha.

"The committee was directed to submit its recommendation within a period of three months, however, committee has sought an extension of two months," he added.

The eight-members panel was set up on August 20 this year. It will submit recommendations on restructuring of FCI after considering various aspects of present structure and functional areas of the organisation.

The terms of reference of the panel is to study various models of restructuring or unbundling of FCI and to suggest the best-suited model to improve its operational efficiency and financial management.

The panel will give suggestions to reorient the role and functions of FCI in the minimum support price (MSP) operations, storage and distribution of foodgrains and food security systems of the country.

That apart, the panel will recommend cost effective scientific models of storage, rationalised mode of foodgrains movement, technology upgradation in foodgrains management and a way forward for integration of supply chain of foodgrains.