Government Approves ₹10,700 Crore for Food Corporation of India

Summary: The Cabinet Committee on Economic Affairs approved an equity infusion of ₹10,700 crore for the Food Corporation of India (FCI) for FY 2024-25 to strengthen FCI’s working capital and operational capacity. This support aims to address procurement delays and increase efficiency in supporting farmers and the agrarian economy. Established in 1964, FCI has grown substantially, with its authorized capital reaching ₹21,000 crore as of 2024. The infusion will reduce FCI’s dependence on short-term borrowing, decrease the financial subsidy burden, and allow the government to improve food security and agricultural infrastructure.