PROCUREMENT

 In Orissa the average annual requirement of rice under various schemes is around 14.5 Lakh MT.

The Procurement of Rice in Orissa Region by FCI and State Agencies during last 5 years are as follows :-  

(Fig. in MT)

KMS

Target

Progressive Qty. Procured

Levy

CMR

TOTAL

Levy

CMR

TOTAL

(levy+CMR)

2002-2003

9,49,700

0

9,49,700

9,02,999

0

9,02,999

2003-2004

14,00,000

1,00,000

15,00,000

13,09,142

89,311

13,98,453

2004-2005

17,00,000

3,00,000

20,00,000

13,13,942

1,75,863

14,89,805

2005-2006

14,00,000

8,00,000

22,00,000

9,65,614

7,97,017

17,62,631

2006-2007

4,67,000

20,00,000

24,67,000

2,28,305

16,67,985

18,96,290

 

Procurement Operations in Orissa :-

FCI, Orissa Region was purchasing only levy rice since 1982-83 to meet the requirement of food grains under various schemes of Government of Orissa as per directives of Hon’ble High Court, Orissa, Cuttack and on the advice of State Government to avoid any possibility of distress sale of paddy, FCI started intervening in the market by purchasing paddy directely  from the farmers since Kharif Marketing Season 2001-02. The present policy of the Central Government is for Decentralized Procurement whereby the State should procure and utilize the rice in the Public Distribution System.  The State has  participated in the procurement operation of direct purchase of paddy through the Orissa State Civil Supplies Corporation and 4 (four) other state agencies. But major target is put on FCI during the KMS 2006-07. The  State Government, has fixed a target of  22 lakh MT of rice out of that 4.67 lakh MT is fixed for Levy rice to be procured by FCI from Rice Millers and  6,49,180 MTs CMR through direct purchase of paddy by FCI and its agency NCMSL. The balance CMR has been given to the  State Government Agencies for procurement.

In the KMS 2006-07, the State Government through its agencies like Orissa State Civil Supplies Corporation, MARKFED, NAFED, PACS and TDCC issue   are engaged in direct purchase of paddy from farmers. Out of the above agencies, the State Civil Supplies  Corporation Ltd.is actually involved in Decentralised Procurement as the resultant CMR of procured paddy by OSCSC Ltd. is issued under PDS.  The rice of other agencies of the State Government like NAFED, MARKFED,  PACS  and TDCC are delivered rice in the nearby FCI godowns as Custom Milled Rice.The agencywise districts-wise   number of centres  opened for purchase of paddy for 2006 – 07 KMS are as given below :

Name of the Agency

No. of centres opened

Revenue Districts covered

Quantity of paddy purchased in MT

Custom Milling Rice delivered in MT

PACS

819

28

117266

66956

NAFED

215

14

465608

278300

MARKFED

157

16

290850

190098

TDCC

9

8

20052

13027

OSCSC LTD

500

30

810622

* 505151

* Utlised for issue under PDS under Decentralisd Procurement Scheme.

As  stated above, FCI was involved in purchase of paddy in Orissa from KMS 2001-02 and it has expanded its operations since then. In the district of Bolangir, there was a direction from Hon’ble High Court of Orissa that FCI should open minimum 100 Paddy Purchase Centres.  Since  FCI is having shortage of manpower, with the approval of Ministry of Consumer Affairs, Food & Public Distribution, Govt. of India,  PACS  purchase and  paddy in Bolangir district on behalf of FCI. PACS opened 84 centres on behalf of FCI in Bolangir district in addition to 35 centres opened and directly run by FCI for purchase of paddy directly from farmers.  Details indicating number of paddy purchase centres opened  and revenue districts covered  &  paddy purchased in KMS 2006 – 07 by FCI are indicated below :-

FCI district

No. of centres opened

Quantity purchased in MT

Custom Milling Rice

Balasore

05

928

612

Berhampur

01

696

459

Jeypore

09

24203

15974

Sambalpur

32

61746

40752

Titilagarh

134

98458

64982

Total

181

186031

122779

 

 

Procurement of paddy by FCI through NCMSL :-

The Ministry of Food vide its letter No.167(23)/2005-PY.I dated 24.11.2005 approved NCMSL to purchase paddy on behalf of FCI with the approval of Govt. of Orissa.  The Govt. of Orissa approved NCMSL for purchase of paddy on behalf of FCI in Orissa  as per its Food and Procurement Policy. The following table will show the quantity purchased  and number of purchase centres operated by NCMSL during 2006 – 07 KMS.

 

No. of Centres

Quantity purchased (in MT) as on 18.05.2007

447

7,50,897

 

Now the emphasis is more on direct purchase of paddy from farmers as it helps the farmers in getting minimum support price through account payee cheques.

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