Cabinet Okays Rs 10,700 Cr Equity Infusion In FCI

New Delhi: The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, on Wednesday approved an infusion of equity to the tune of Rs 10,700 crore in the Food Corporation of India (FCI) for working capital in the financial year 2024-25.

"The decision is aimed at bolstering the agricultural sector and ensuring the welfare of farmers nationwide. This strategic move shows the government's steadfast commitment to supporting farmers and fortifying India's agrarian economy," a cabinet communique said.

The FCI started its journey in 1964 with an authorised capital of Rs 100 crore and equity of Rs 4 crore. The operations of the FCI increased manifold resulting in the increase of authorised capital from Rs 11,000 crore to Rs 21,000 crore in February 2023. The equity of FCI was Rs 4,496 crores in the financial year 2019-20 which increased to Rs 10,157 crore in the financial year 2023-24.