The authorities connected Wednesday approved an infusion of Rs 10,700 crore arsenic equity successful state-owned FCI for moving superior request this fiscal.
The Food Corporation of India (FCI) is the government's nodal bureau for procurement and organisation of foodgrains.
"The Cabinet Committee connected Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, has approved infusion of equity of Rs 10,700 crore for moving superior successful fiscal twelvemonth 2024-25 successful Food Corporation of India (FCI)," an authoritative connection said.
The determination is aimed astatine bolstering the cultivation assemblage and ensuring the payment of farmers nationwide.
"This strategical determination shows the government's steadfast committedness to supporting farmers and fortifying India's agrarian economy," it added.
The FCI started its travel successful 1964 with authorised superior of Rs 100 crore and equity of Rs 4 crore.
The operations of FCI accrued manifolds resulting successful summation of authorised superior from Rs 11,000 crore to Rs 21,000 crore successful February 2023.
The equity of FCI was Rs 4,496 crore successful 2019-20 fiscal, which was accrued to Rs 10,157 crore successful 2023-24.
"Now, the Government of India has approved a important magnitude of equity of Rs 10,700 crore for FCI which volition fortify it financially and volition springiness a large boost to the initiatives taken for its transformation," the connection said.
FCI plays a pivotal relation successful ensuring nutrient information by procurement of foodgrains astatine Minimum Support Price (MSP), attraction of strategical foodgrain stocks, organisation of foodgrains for payment measures and stabilisation of foodgrain prices successful the market.
"The infusion of Equity is simply a important measurement towards enhancing the operational capabilities of FCI successful fulfilling its mandate effectively. FCI resorts to short-term borrowings to lucifer the spread of money requirement. This infusion volition assistance to little the involvement load and volition yet trim the subsidy of the Government of India," the connection said.
The government's dual committedness to MSP-based procurement and concern successful FCI's operational capabilities signifies a collaborative effort towards empowering farmers, fortifying the cultivation sector, and ensuring nutrient information for the nation, it added.