Centre to release Rs 4,800 Cr food subsidy to Chhattisgarh

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The quantum of rice to be procured from Chhattisgarh for the Central Pool has been capped at 24 Lakh MT

The Centre will shortly release Rs 4,800 crore of food subsidy to the State of Chhattisgarh. This was informed by Piyush Goyal Minister for Consumer Affairs, Food & Public Distribution, Railways and Commerce & Industry to the Chief Minister of Chhattisgarh in a meeting held recently.

During the meeting, it was informed that procurement operations for the Central Pool including quantity to be procured are solely based on the MoU signed between the Government of India, Food Corporation of India and the State Government concerned.

In the meeting, discussions were also held regarding the acceptance of 40 Lakh MT of surplus Rice in the State during KMS 2020-21.

The Minister clarified that the procurement operations for the Central Pool including quantity to be procured are based on the MoU signed between the Government of India, Food Corporation of India and the State Government concerned.

As per the condition stipulated in the MoU, if any State gives bonus/financial incentive in direct or indirect form, over and above MSP and if the overall procurement of the State is in excess of the total allocation to the State made by the Government of India under TPDS/Other Welfare Schemes, such excess quantity will be treated outside the Central Pool and will not be taken over by FCI/GoI.

Accordingly, the quantum of rice to be procured from Chhattisgarh for the Central Pool has been capped at 24 Lakh MT, which is equivalent to the quantity allowed in previous years.

Further, the request of the State Government for permitting them to allow to deliver surplus rice to FCI also in used bags, the Government of India has agreed to consider the matter in the right spirit.

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