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Subsidy Programme

Manual-XII

The manner of execution of subsidy programmes, including the amount allotted and the details of beneficiaries  of such programmes

 

The Food Subsidy provided to FCI by the Ministry is in the form of Consumer Subsidy and Buffer Subsidy.

As per the mandate given to it, the Corporation carries out Open Ended Procurement of foodgrains at Minimum Support Price fixed by the Central Govt., Movement of the same and Distribution of Foodgrains to various State/Central Agencies as per the Allocation given by the Central Govt. and at the Central Issue Prices fixed by the Central Govt.

For the quantity distributed, the difference between the acquisition cost and distribution cost incurred by FCI and the CIP realised is reimbursed as Consumer Subsidy.

As per the instructions issued, three months average sales quantity is treated as operational stock. Stock over and above the operational stock is treated as buffer stock. For buffer stock, the cost of holding and maintenance of the stock (i.e. interest, storage etc.) is reimbursed in the form of Buffer Subsidy.

As per existing instructions, 95% of the subsidy (excluding shortages) is paid in advance to FCI on a quarterly basis and the balance is paid on completion of Accounts and certification of the same by C&AG.

The Scheme-wise subsidy expected to be incurred and claimed by FCI during  2018-19(RE) and 2019-20(BE)as under:-

SL.NO

Scheme

2019-20(RE)

2020-21(BE)

A

Consumer Subsidy

 

 

 

 

 1 NFSA 105,784   105,472  
  Other than NFSA 4,878   4,854  

 

APL

-

 

-

 

  APL Additional -   -  

 

BPL

-

 

-

 

 

BPL Additional

-

 

 -

 

 

AAY

-

 

 

 

 

Mid Day Meal (MDM)

5643

 

5614

 

 

Defence

17

 

-

 

  WBNP 2656   2652  

 

Open Market Sale

3441

 

2467

 

 

Export

13

 

-

 

  Others 1576   1570  

 

Total Consumer Subsidy

 

124008

 

122629

B

Buffer Subsidy

 

14659

 

19152

 

Food Subsidy incurred during the year

 

138667

 

141781

 

Less: Deductions pending audit certificate

 

6933

 

7089

 

Net Food Subsidy

 

131734

 

134692

C

Arrears for earlier year (on furnishing audit cert)

 

186171

 

173988

 

Total Food Subsidy to be claimed

 

317905

 

308680