The Department of Food and Public Distribution (DFPD) and the Food Corporation of India (FCI) signed a Memorandum of Understanding (MoU) for the Financial Year 2026-27 in New Delhi. The MoU establishes a comprehensive performance framework for FCI, with defined targets aimed at improving operational efficiency, strengthening accountability and accelerating modernisation in food grain management.

The Ministry of Consumer Affairs, Food and Public Distribution said that the MoU focuses on key areas including reduction of storage losses, optimal utilisation of storage capacity, improvement in logistics and supply chain management, and strengthening of quality control mechanisms. The Ministry said that it also places emphasis on greater digitisation of business processes and adoption of modern Information Technology solutions to enhance efficiency, transparency and monitoring of FCI’s operations.

As part of the modernisation agenda, the MoU provides for capacity building and skill development initiatives for FCI employees, enabling the organisation to effectively adopt emerging technologies and contemporary systems of foodgrain management.

The MoU introduces a measurable and outcome-oriented approach to FCI’s functioning by linking its performance with clearly defined annual parameters. The framework is intended to promote greater efficiency in the utilisation of resources, strengthen transparency in operations and encourage adoption of technology-driven solutions across the organisation. The signing of the MoU reflects the Government’s continued commitment towards modernising the food grain management system and enhancing the efficiency and resilience of the country’s food security architecture.