Govt Launches World’s Largest Grain Storage Plan in Cooperative Sector
The Government of India has launched the World’s Largest Grain Storage Plan in the Cooperative Sector to create decentralized food grain storage capacity. Approved on May 31, 2023, the initiative is being implemented as a pilot project, focusing on the development of Primary Agricultural Credit Societies (PACS) with modern agri-infrastructure.
The plan integrates godowns, custom hiring centers, processing units, sorting and grading facilities, cold storage, and packhouses at the PACS level. It leverages multiple government schemes, including the Agriculture Infrastructure Fund (AIF), Agricultural Marketing Infrastructure Scheme (AMI), Sub Mission on Agricultural Mechanization (SMAM), and PM Formalization of Micro Food Processing Enterprises Scheme (PMFME).
Key Benefits for Farmers
The decentralized storage approach aims to:
✅ Reduce transportation costs by enabling local storage
✅ Minimize grain losses in long-distance transit
✅ Ensure fair pricing by reducing farmer dependence on intermediaries
✅ Generate rural employment through agri-infrastructure development
As part of the pilot phase, 11 godowns have been constructed across 11 PACS, creating a total storage capacity of 9,750 MT.
Strengthening the Cooperative Movement
To further boost rural economies, the government has also approved a plan on February 15, 2023, to expand the cooperative network by establishing:
📌 2 lakh new multipurpose PACS (M-PACS), Dairy, and Fishery Cooperative Societies across all villages in India within five years.
📌 Convergence with schemes like Dairy Infrastructure Development Fund (DIDF), National Programme for Dairy Development (NPDD), and PM Matsya Sampada Yojana (PMMSY).
📌 Support from NABARD, NDDB, NFDB, and State Governments.
Since the plan’s approval, 3,667 new PACS have been registered, with 148 in Maharashtra alone (as per data from January 27, 2025).
PACS Digitalization Drive
To modernize the cooperative sector, the government has also sanctioned a ₹2,516 crore project for the computerization of functional PACS. The initiative will:
🔹 Bring PACS onto a common ERP-based software
🔹 Integrate them with NABARD, State Cooperative Banks (StCBs), and District Central Cooperative Banks (DCCBs)
🔹 Enhance transparency and efficiency in operations
As of January 27, 2025, a total of 50,455 PACS have been onboarded onto the National ERP Software, and hardware has been delivered to 60,382 PACS across 30 States/UTs.
This information was provided by Minister of Cooperation, Shri Amit Shah, in a written reply to the Rajya Sabha.
