The Food Corporation of India (FCI) is a government agency responsible for the procurement and distribution of food grains in the country. It plays a crucial role in ensuring food security for the citizens of India. In its efforts to fulfill this responsibility, FCI has recently revealed that it spends ₹46 per quintal as commission to agents and pays 3 per cent mandi fees for purchases. This move by FCI is a commendable step towards transparency and efficiency in its operations.
The commission paid to agents is a common practice in the procurement process, where agents act as intermediaries between the farmers and FCI. They help in the smooth and timely procurement of food grains from the farmers and ensure that the grains meet the quality standards set by FCI. The commission paid to these agents is a small price to pay for their valuable services. It not only benefits the farmers by providing them with a reliable and efficient channel to sell their produce but also helps FCI in its goal of procuring food grains at a fair price.
The mandi fees, on the other hand, are the charges paid by FCI to the Agricultural Produce Market Committee (APMC) for using their facilities for the procurement process. APMC is a statutory body that regulates the marketing of agricultural produce in the country. The 3 per cent mandi fees paid by FCI is a reasonable amount considering the services provided by APMC, such as grading, weighing, and storage of the procured food grains. This fee also contributes to the development of the agricultural infrastructure in the country.
The decision of FCI to disclose the amount spent on commission and mandi fees is a welcome move. It showcases the transparency and accountability of the organization towards its stakeholders. It also dispels any doubts or speculations regarding the use of public funds by FCI. This step will not only build trust among the farmers but also encourage them to sell their produce to FCI, which in turn will help in achieving the goal of food security.
Moreover, the commission and mandi fees paid by FCI are a small fraction of the total cost of procurement. FCI spends a significant amount on transportation, storage, and distribution of food grains. It also incurs additional costs for quality testing and other administrative expenses. Therefore, the commission and mandi fees paid by FCI are a necessary expenditure to ensure the smooth functioning of the procurement process.
FCI has been at the forefront of ensuring food security in the country for decades. It has successfully procured and distributed food grains to the most vulnerable sections of society, even during times of crisis. The recent move to disclose the amount spent on commission and mandi fees is a testament to its commitment towards transparency and efficiency. It also reflects the organization’s efforts to optimize its resources and reduce unnecessary expenses.
In conclusion, FCI’s decision to reveal the amount spent on commission and mandi fees is a positive step towards building trust and promoting transparency in its operations. The commission paid to agents and the mandi fees paid to APMC are essential expenditures that contribute to the smooth functioning of the procurement process. FCI’s efforts towards ensuring food security for the citizens of India are commendable, and this move only adds to its credibility. Let us all support FCI in its mission to provide food for all and work towards a hunger-free nation.
