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Instruments of food
Manangement
Minimum Support Price (MSP)
Central Issue Price
Objectives of Food
Management in India
1. Procurement of food grains from farmers at remunerable prices
2. Distributing these food grains to the consumers & vulnerable
sections of the society
3. Maintenance of a Buffer Stock for adverse circumstances
4. Maintenance of food security and price stability.
Food Corporation of
India(FCI)
Responsible for the Procurement of crop production
Adequate movement of the production in deficit regions
Public Distribution and maintenance of buffer stocks
Procuring food at Minimum Support Price (MSP)Creating Buffer stocks
Procurement of the production is done by State Government Agencies
(SGAs) and Private Rice Miller on the behalf of the FCI.
The Food Corporation of India is the only agency that is entrusted with
the movement of food grains from the procuring states to the
consuming states through a network of storage infrastructure owned by
the FCI.
The individual state governments distribute food grains through the
Targeted Public Distribution System (TPDS) and other welfare schemes.
The food grains are sometimes sold in the open market under the Open
Market Sales Scheme to reduce any inflation and increase storage space
within states.
Food Corporation of
India(FCI)
Covered storage: This is the most popular storage method used by
FCI, CWC and SWCs. It is the method wherein a jute bag is used to store
the grains. Grains packed in jute bags are piled inside warehouses or
godowns.
Cover and Plinth (CAP) Method is a method in which the food grains
are stored in the open with necessary precautions like rat and damp-
proof plinths. This method also makes use of dunnage and covering of
stacks with special polythene covers etc.
Silos: These are tall tower-like structures used to store grains. Silos
require 30% less land when compared to the conventional warehouses
and can run round the clock, making them more efficient.
Silo bag technique: Silo-bags is hermetic-type storage made with a
plastic bag in the shape of a tube. These bags can protect the grains
from rains, UV rays, humidity, dust etc. They are also best suited for
short-term, high-volume grains to assist with harvest logistics.
AGRICULTURE PRICE POLICY
• MINIMUM SUPPORT PRICE/PROCUREMENT PRICE
TO PROVIDE INCENTIVES TO THE PRODUCERS FOR ADOPTING
TECHNOLOGY FOR MAXIMISING PRODUCTION
AGRICULTURAL PRICE COMMISSION – 1965
• COMMISSION FOR AGRICULTURAL COSTS AND PRICES (CACP)
– 1985
Agriculture Pricing
• Minimum Support Price(MSP) are a long term guarantee to the
producers so that in the event of a glut the prices are not
allowed to fall below these announced prices.
• Procurement Prices are fixed at a higher level as compared to
the minimum support prices and are meant essentially for the
purchase of quantities needed by the government for maintain
the public distribution system and building up buffer stock
• Issue Price indicate the prices at which the government supplies
food grains through fair price shops and ration depots
The MSP system was started in
1966-67 for wheat and was
expanded further to include other
essential food crops, which was
then sold to the poor under
subsidised rates under the public
distribution system (PDS). In 1966,
wheat's MSP was Rs 54 per
quintal. Currently, it is at Rs 1,975
per quintal.
1
Currently, MSPs are announced for 23 commodities. However, the price
support effectively operates mainly in wheat and rice, that too only in select
states.
Minimum Support Price
Since 2009, the Commission for Agricultural Costs and Prices fixes
the MSP of a crop based on:
cost of production
demand
supply
price fluctuations
market price trends
different costs and
international market prices
agricultural wage rate
Minimum Support Price
Cereals:
Paddy
Wheat
Maize (corn)
Sorghum ( in pic)
Pearl millet (Bajra)
Barley (jau)
Ragi
Minimum Support Price
Pulses:
Chickpea
Tur
Moong
Urad
Lentil
Oilseeds:
Peanut
Rapeseed
Soyabean
Sesame
Sunflower
Safflower
Niger seed
Commercial crops:
Copra
Sugarcane
Cotton
Raw jute
The enactment of the National Food Security Act, (NFSA)
2013 on July 5, 2013 marks a paradigm shift in the approach
to food security from welfare to rights based approach.
Includes
-Midday Meal Schemes
-Integrated Child Development Services Scheme
-Public Distribution System
National Food Security
Act, (NFSA) 2013
• Public Distribution System (PDS) is now governed by provisions of the National Food Security Act,
2013 (NFSA).
• Coverage under PDS is de-linked from the erstwhile 'poverty estimates'.
• The Act provides coverage for nearly 2/3rd of the country's total population, basis Census 2011
population estimates.
• 75% of Rural and 50% of Urban population is entitled to receive highly subsidised foodgrains under
two categories of beneficiaries – Antodaya Anna Yojana (AAY) households and Priority Households
(PHH).
• State/UT-wise coverage is determined by the erstwhile Planning Commission (now NITI Ayog) on the
basis of 2011-12 Household Consumption Expenditure survey of NSSO.
• The Act entitles 35 kg of foodgrains per AAY Household per month, whereas 5 Kg of foodgrain per
PHH Person per month.
• Identification of beneficiaries/households under NFSA is done by respective State/UT Government,
which is required to frame its own criteria.
• Highly subsidised Central Issue Prices of Re.1, Rs.2 and Rs.3 for Coarse-grains, Wheat and Rice
respectively, kept unchanged till June 2019.
• Eldest woman of the beneficiary household (18 years or above) is
considered as 'Head of Family' for the purpose of issuing ration
cards.
• Grievance redressal mechanism, through State Food Commissions,
DGROs, Vigilance Committees at different levels are provisioned for
Women Empowerment.
• Provisions for disclosure of records relating to PDS operations,
placing of beneficiaries' list in public domain/portals, for enhanced
transparency
• Assistance to States/UTs for meeting expenditure on intra-State
transportation & handling of foodgrains and FPS Dealers' margin
• Food Security involves adequate physical availability of food to
the entire population in a country
• People have enough purchasing power so that they can acquire
the food they need
• For healthy life the food available should be adequate in quality
as well in quantity to meet nutritional requirements
Midday Meal Scheme
Children between ages 2-14 attending schools
• Programme has been successful in TN, Karnataka and other
South Indian States, but a failure in most North Indian States
• Integrated Child Development Services Scheme(ICDS)
The scheme intended to provide food supplementation to
children and pregnant/nursing women
Food Management 1 (1).pptx

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Food Management 1 (1).pptx

  • 1. Instruments of food Manangement Minimum Support Price (MSP) Central Issue Price
  • 2. Objectives of Food Management in India 1. Procurement of food grains from farmers at remunerable prices 2. Distributing these food grains to the consumers & vulnerable sections of the society 3. Maintenance of a Buffer Stock for adverse circumstances 4. Maintenance of food security and price stability.
  • 3. Food Corporation of India(FCI) Responsible for the Procurement of crop production Adequate movement of the production in deficit regions Public Distribution and maintenance of buffer stocks Procuring food at Minimum Support Price (MSP)Creating Buffer stocks Procurement of the production is done by State Government Agencies (SGAs) and Private Rice Miller on the behalf of the FCI. The Food Corporation of India is the only agency that is entrusted with the movement of food grains from the procuring states to the consuming states through a network of storage infrastructure owned by the FCI. The individual state governments distribute food grains through the Targeted Public Distribution System (TPDS) and other welfare schemes. The food grains are sometimes sold in the open market under the Open Market Sales Scheme to reduce any inflation and increase storage space within states.
  • 4. Food Corporation of India(FCI) Covered storage: This is the most popular storage method used by FCI, CWC and SWCs. It is the method wherein a jute bag is used to store the grains. Grains packed in jute bags are piled inside warehouses or godowns. Cover and Plinth (CAP) Method is a method in which the food grains are stored in the open with necessary precautions like rat and damp- proof plinths. This method also makes use of dunnage and covering of stacks with special polythene covers etc. Silos: These are tall tower-like structures used to store grains. Silos require 30% less land when compared to the conventional warehouses and can run round the clock, making them more efficient. Silo bag technique: Silo-bags is hermetic-type storage made with a plastic bag in the shape of a tube. These bags can protect the grains from rains, UV rays, humidity, dust etc. They are also best suited for short-term, high-volume grains to assist with harvest logistics.
  • 5.
  • 6.
  • 7. AGRICULTURE PRICE POLICY • MINIMUM SUPPORT PRICE/PROCUREMENT PRICE TO PROVIDE INCENTIVES TO THE PRODUCERS FOR ADOPTING TECHNOLOGY FOR MAXIMISING PRODUCTION AGRICULTURAL PRICE COMMISSION – 1965 • COMMISSION FOR AGRICULTURAL COSTS AND PRICES (CACP) – 1985
  • 8. Agriculture Pricing • Minimum Support Price(MSP) are a long term guarantee to the producers so that in the event of a glut the prices are not allowed to fall below these announced prices. • Procurement Prices are fixed at a higher level as compared to the minimum support prices and are meant essentially for the purchase of quantities needed by the government for maintain the public distribution system and building up buffer stock • Issue Price indicate the prices at which the government supplies food grains through fair price shops and ration depots
  • 9. The MSP system was started in 1966-67 for wheat and was expanded further to include other essential food crops, which was then sold to the poor under subsidised rates under the public distribution system (PDS). In 1966, wheat's MSP was Rs 54 per quintal. Currently, it is at Rs 1,975 per quintal. 1 Currently, MSPs are announced for 23 commodities. However, the price support effectively operates mainly in wheat and rice, that too only in select states.
  • 10. Minimum Support Price Since 2009, the Commission for Agricultural Costs and Prices fixes the MSP of a crop based on: cost of production demand supply price fluctuations market price trends different costs and international market prices agricultural wage rate
  • 11. Minimum Support Price Cereals: Paddy Wheat Maize (corn) Sorghum ( in pic) Pearl millet (Bajra) Barley (jau) Ragi
  • 13.
  • 14. The enactment of the National Food Security Act, (NFSA) 2013 on July 5, 2013 marks a paradigm shift in the approach to food security from welfare to rights based approach. Includes -Midday Meal Schemes -Integrated Child Development Services Scheme -Public Distribution System National Food Security Act, (NFSA) 2013
  • 15. • Public Distribution System (PDS) is now governed by provisions of the National Food Security Act, 2013 (NFSA). • Coverage under PDS is de-linked from the erstwhile 'poverty estimates'. • The Act provides coverage for nearly 2/3rd of the country's total population, basis Census 2011 population estimates. • 75% of Rural and 50% of Urban population is entitled to receive highly subsidised foodgrains under two categories of beneficiaries – Antodaya Anna Yojana (AAY) households and Priority Households (PHH). • State/UT-wise coverage is determined by the erstwhile Planning Commission (now NITI Ayog) on the basis of 2011-12 Household Consumption Expenditure survey of NSSO. • The Act entitles 35 kg of foodgrains per AAY Household per month, whereas 5 Kg of foodgrain per PHH Person per month. • Identification of beneficiaries/households under NFSA is done by respective State/UT Government, which is required to frame its own criteria. • Highly subsidised Central Issue Prices of Re.1, Rs.2 and Rs.3 for Coarse-grains, Wheat and Rice respectively, kept unchanged till June 2019.
  • 16. • Eldest woman of the beneficiary household (18 years or above) is considered as 'Head of Family' for the purpose of issuing ration cards. • Grievance redressal mechanism, through State Food Commissions, DGROs, Vigilance Committees at different levels are provisioned for Women Empowerment. • Provisions for disclosure of records relating to PDS operations, placing of beneficiaries' list in public domain/portals, for enhanced transparency • Assistance to States/UTs for meeting expenditure on intra-State transportation & handling of foodgrains and FPS Dealers' margin
  • 17. • Food Security involves adequate physical availability of food to the entire population in a country • People have enough purchasing power so that they can acquire the food they need • For healthy life the food available should be adequate in quality as well in quantity to meet nutritional requirements
  • 18. Midday Meal Scheme Children between ages 2-14 attending schools • Programme has been successful in TN, Karnataka and other South Indian States, but a failure in most North Indian States • Integrated Child Development Services Scheme(ICDS) The scheme intended to provide food supplementation to children and pregnant/nursing women