Mumbai: The government is implementing the private entrepreneurs guarantee (PEG) scheme to augment the covered storage capacity through private entrepreneurs, central warehousing corporation (CWC) and state warehousing corporations (SWCs), according to the minister of consumer affairs, food and public distribution, K V Thomas.
While providing this information in Lok Sabha, Thomas said that the FCI guarantees to hire godowns constructed under this scheme for a period of ten years, thereby, ensuring for the investor, a fair return on his investment. A capacity of about 197 lakh metric tonne as on February 28, 2013 has been approved for the construction of godowns in 19 states out of which a capacity of 141.46 lakh metric tonne has been sanctioned for construction. A capacity of 46.88 lakh metric tonne has been completed.
For ensuring long-term scientific storage, the government has also approved construction of 20 lakh metric tonne of storage capacity in silos within the overall sanctioned capacity of the PEG Scheme.
The rate of storage and maintenance of food grains in CWC/SWC godowns has been finalized for the year 2009-10 and is fixed at Rs. 5.46 per qtl. per month. For the private godowns hired under the PEG Scheme, the ministry said the rates of hiring are decided through a transparent two bid tendering process and have to be within the approved CWC rates indexed appropriately.
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