The Food Corporation of India (FCI) has dismissed claims of bias and monopoly promotion in the allocation of silo projects. This response comes after a report alleged that the FCI, under its “Hub and Spoke” silo modernization initiative, removed an “anti-monopoly” clause from tenders at the behest of the Department of Economic Affairs and NITI Aayog. The FCI clarified that the tendering process was fair and inclusive to allow various companies to participate.
Addressing the accusations, the FCI highlighted that while Adani Agri Logistics Ltd secured projects in Phase I, it did not win any in Phase II, indicating a lack of preferential treatment. The corporation emphasized that the decision to not impose restrictions on participation was made collectively to encourage sector growth and ensure transparency in the bidding process.
The FCI emphasized that the bidding process was transparent, competitive, and open to all eligible participants. It stressed that the silo development program aims to enhance scientific warehousing through public-private partnerships, fostering private sector involvement in foodgrain storage management for sectoral growth.
The FCI’s ‘Hub and Spoke’ silo modernization program aims to revamp India’s grain supply chain, promoting modern storage infrastructure development through PPP models. The corporation reiterated that tender notices for Phase-I and Phase-II projects were widely circulated, ensuring equal treatment for all bidders and promoting competitive pricing for public benefit.
