Detail study of NAFED & FCI

1. Dr. Devyanee K. Nemade
Assistant Professor
Department of Agricultural Economics
& Statistics Dr. PDKV, Akola

2. Content
-National Agricultural Co-operative Marketing Federation
of India(NAFED)
-Food Corporation of India(FCI)
-Quality control of Agricultural Products and
manufactured products
.

3. National Agricultural Co-operative Marketing Federation
of India (NAFED):
The National Agricultural Co-operative
Marketing Federation of India(NAFED) is an apex
organization of Marketing Co-operatives in the country.
* Establishment Year: October 1958
* Head Office: New Delhi
* Branches: 31
* Procurement, Processing, Distribution, Export
Commodities of Agricultural Commodities.

4. Objective of NAFED:
* Co-ordinate and promote the marketing and trading
activities.
*Purchase, Sales and Supply (Agricultural Goods).
* Promote inter-state, intra-state and international trade.
*Own and construct Godowns.
* To make arrangements for the supply of agricultural
inputs like seed, fertilizer, manure agricultural
implements etc.

5. Continue……………..
* To act as an agent of the government for the purchase,
sale, storage and distribution of agricultural products
and inputs.
* Insurance agent.
* Consultancy
* Manufacture of agricultural machinery, implements,
processing and marketing.
* Marketing research and marketing Intelligence
dissemination.
* Training.

6. Activities of the NAFED:
* Price support operations
* Internal trade
* Foreign trade
* Marketing of agricultural Inputs
* Promotional activites
* Tribal produce marketing activity
* Setting of scientific storage system
* Processing of fruits and vegetables.

8. Food Corporation of India(FCI):
* Set up under Food Corporation act 1964.
* Fulfill price support to farmers, distribution of Food
Grains to Consumers and maintaining buffer stock.
* Handling food grain trade and its distribution to each
section society.
* Establishment Year: January, 1965.
* Its market operations prevent the speculative traders
and provide the remunerative prices for agricultural
produces.
* Ensures prompt and un-interrupted supply of food
grains.

9. Function of FCI:
* Procurement of Food Grains at incentive prices.
* Release of stock timely through PDS(Public Distribution
system. No rise in consumer price.
* To minimize seasonal price fluctuations and
interregional price variations in agricultural
commodities.(Purchase and Distribution network).
* To build up buffer stock of food grains to meet short
falls in internal procurement and imports.

10. Structure of FCI:
* Five Major zone.
* Each zone office has regional Offices.
* Regional offices in every district.
*Corporation in all have 5 zonal offices.
*19 regional offices, 4 sub rigional offices,
* 4 offices of joint managers, 173 district offices and
1000 of operating points for distribution and purchase.

11. Progress of FCI:
Progress of Procurement:
* Public procurement agencies
* Price Support operations of Cereals
* Distress sale
* Cereals and pulses distribution in defense services.

12. Continue…………….
Progress of Storage:
* Food grains are stored in production and consumption
centers.
* Prevent storage loss( from 10 % to 1 %)
* Constructed 28.30 million tonnes storage capacity.
Progress in Transportation:
* Railways 80 % and 20 % roads.
*20 million tonnes transported per annum.
Progress in Imports
*Speedy dispatch to various destination s to avoid congestion
at he ports and to augment supplies to PDS.

13. Continue…………….
Progress in Distribution:
* Distribution of procured and imported food grains.
Progress in Processing:
* 24 modern rice mills
* Paddy processing unit Tiruverur in Tamil Nadu
* Ujjain(MP): Solvent extraction plant-Gr.Nut.
* Faridabad(Hariyana) Maize mill

14. Quality control of Agricultural Products and
manufactured products:
* Directorate of Marketing and inspection(DMI): 1935
*Product Grade -- AGMARK – Agricultural Produce act
1937.
*Grading and standardization cell.
*120 to 165 graded Agricultural Products.

15. Manufactured Products:
* Indian Standard Institution (ISI), 1947.
* Indian standards Institution act 1952.
*Reducing cost and mass production possible.

16. Indian Standard Institution (ISI):
* Prepare standards for products, commodities and material
for national and International basis.
*Survey and training for companies for standardization.
*Nine divisional councils Agriculture, Chemical, Civil
engineering, Consumer products, Electro technical and
Metals, Textile, Cargo movements, Marine Products and
Packaging)
*Memberships of 24,000 experts.
*Central laboratory(N.D.)
*Regional laboratories(Mumbai, Kolkata, Chennai).
*Investigation, Evaluation and Standardization work.

17. Bureau of Indian Standards:
* Rename of Indian Standard Institution.
*Establish April, 1987.
*Consumer protection, improvising the quality of agricultural
products and inspection activities in the country.
*17,000 Indian Standards in different sectors.
*Special efforts in rural development by formulating 2000
standards in fertilizers, pesticides, agricultural implements
etc.
*Adopted ISI/ISO 9000 series of standards.
*Undertaking HACCP certification.
*Work as Central Enquiry Point for WTO.

18. Quality Management in Food:
Adoption of HACCP:
(Hazard Analysis and Critical Control Point)
*Internationally recognized auditing method.
*Focuses on chemical, physical and microbial standards.
*(Food Processing, Fruits, Vegetables, Grains, Milk, Fish,
Meat, Poultry, Soft drinks and alcoholic beverages.)
*One of the largest sector in terms of production,
Consumption and employment generation.
*Modern concept of quality management of food items.

19. HACCP and CODEX:
* International food safety standards and developing the
CODEX(Codex Alimentary Commission).
*Acceptable as per WTO.
*Future Standards for Food items from Raw stage to
Consumer stage.
*ECOMARK: It is a Scheme which was Launched in 1991.
*Provides labeling of household and other consumer
products.