Food dept for open tenders to ascertain logistics cost

Finance officials have reportedly told food department to make efforts to cut the cost

CHANDIGARH: : The food and civil supplies department, in a proposal before the Punjab government, has offered to call open tenders to ascertain the logistics cost of the doorstep delivery of wheat or wheat flour to 1.5 crore beneficiaries and has asked the state’s entity in the cooperative sector Markfed to take forward chief minister Bhagwant Mann’s ambitious project.

Earlier, in a communique sent to apprise the finance department and take its approval, the food department reportedly proposed an additional expenditure of ₹ 400 crores for grinding of wheat into flour and taking it to the doorsteps of beneficiaries.

Under the scheme, five-kilogram of wheat or wheat flour is supplied to 40 lakh households per month (1.5 crore beneficiaries) at a cost of ₹ 2 per kilogram.

Government sources revealed that the finance department in its suggestions has asked the food department to make efforts to cut the cost, which involves distribution and grinding of 8.7 lakh tonnes of wheat annually (72,500 tonnes every month) to be supplied to beneficiaries on a quarterly cycle.

The cost of grinding a kilogram of wheat is ₹ 1.8 and the state department is also calculating cost of moving a kilogram of wheat flour for a kilometer, incase all beneficiaries opts for delivery at their doorsteps.

“Markfed is already grinding wheat to be sold under ‘sohna’ brand and have logistic experience also, so we are pushing it to widen its functioning,” said a senior officer of the food department not willing to be quoted.

The officer said that the matter needs to be approved at the cabinet level, which is expected to be taken up in the upcoming meeting on Monday.

He adds that the state government would also take up with the Centre to provide costs of delivery, grinding, and gunny bags.

Wheat flour will be supplied in five-kilogram bags, which currently is supplied in 30-kilogram packing.

“The government of India gives ₹ 40 per quintal for logistics over and above the grain cost. We will try to push for more as per our requirements,” he added.

It needs mention that the state department has taken up with the Centre’s ministry of food and public distribution the matter of doorstep delivery. However, there is no word yet on this from the Centre.

Delhi Chief minister Arvind Kejriwal had started this scheme in the national capital but it was denied approval by the Centre.

At present, 17,500 fair price shops are run by the food department that supply wheat to the beneficiaries.

Within a fortnight after coming to power in Punjab, chief minister Mann on March 29 announced the rollout of the doorstep ration delivery scheme, saying “the poor will no longer need to stand in queues”.

Mann had announced that the scheme is aimed at providing good quality ration, wheat or wheat flour and daal, packed in gunny bags to the people.