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Finance

Overview

The functions of Finance and Accounts division is primarily maintenance of Accounts and preparation of annual reports, preparation of Budget Estimates, claim subsidy from Government of India, Funds Management, Taxation, Debt collection and Financial evaluation of commercial proposals.

FCI is a statutory Organization constituted under Food Corporation’s Act, 1964 and has been carrying out its operations since 1965 with an objective to trade in food grains and other foodstuffs and for matters connected therewith and incidentals thereto.  At present FCI is only implementing Government of India food programme and not involved in any commercial venture. 

Main operation of FCI includes procurement of foodgrains at minimum support price declared by Government Of India, store foodgrains so procured, transport the surplus foodgrains to deficit states and issue it to State Governments under Public Distribution System at a price decided by the Government Of India.  Since, the issue prices declared by Government Of India under different schemes are much lower than the cost of foodgrains procured, the differential amount is reimbursed to FCI as food subsidy by the Government Of India.  FCI also maintains buffer stocks of foodgrains as mandated by the Government of India and intervene in the domestic market to control the rising prices of the foodgrains.

Year Subsidy (Rs.in crore) Sales Proceed (Rs. in crore) Total turnover (Rs. in crore)

2011-12

68,697

26,686

95,383

2012-13

80,563

39,849

1,20,412

2013-14

89,492

38,357

1,27,849

2014-15(RE)

1,02,476

31,527

1,34,003