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The Decentralised Grain Storage Plan in the Cooperative Sector builds godowns and allied infrastructure at Primary Agricultural Credit Societies (PACS) by converging four existing central schemes.
Rolled out as a pilot on 31 May 2023 across 11 PACS in 11 states with 9,750 MT of capacity.
As of July 2026, 1,012 PACS had been identified and godowns completed in 313 PACS, creating over 1.80 lakh MT of storage capacity.
Viability measures cut the effective interest rate for participating PACS to 1%, and FCI may give assured hiring of eligible godowns.
Finance post-harvest management infrastructure and community farming assets.
Key: Launched 8 July 2020 with a Rs 1 lakh crore financing facility; 3% interest subvention on loans up to Rs 2 crore for up to seven years. The scheme runs from 2020-21 to 2032-33.
Provide back-ended capital subsidy for building foodgrain storage.
Key: Subsidy under the Plan was raised from 25% to 33.33%, with NABARD acting as the subsidy-channelising agency.
Improve farm mechanisation access, particularly for small holdings.
Key: Funds Custom Hiring Centres at PACS, letting societies buy tractors, harvesters and tillers for rental to farmers.
Formalise and upgrade micro food processing units.
Key: Supports primary processing at PACS — grain cleaning, sorting and drying — so societies capture more of the value chain.
Nodal ministry; created 6 July 2021 by transferring cooperation subjects out of the Ministry of Agriculture and Farmers' Welfare.
Implementing agency for the Plan; a statutory corporation established by an Act of Parliament in 1963 to finance and develop cooperatives.
Subsidy-channelising agency under AMI and provider of a special refinance facility that lowers the cost of PACS borrowing.
Central procurement and storage agency; authorised to give assured hiring of eligible godowns built under the Plan, which underwrites project viability.
Village-level cooperatives providing short-term credit and collecting repayments; the Plan turns them into integrated rural service hubs.
Ministry of Cooperation created as a separate ministry.
Plan rolled out as a pilot project in 11 PACS across 11 states, creating 9,750 MT of capacity.
1,012 PACS identified; godowns completed in 313 PACS with over 1.80 LMT of capacity.
GS Paper 3 > Agriculture > Storage, Transport and Marketing of Agricultural Produce
General Awareness > Government Schemes
General Awareness > Priority Sector and Rural Credit
With reference to the provisions made under the National Food Security Act, 2013, consider the following statements: 1. The families coming under the category of 'below poverty line (BPL)' only are eligible to receive subsidised food grains. 2. The eldest woman in a household, of age 18 years or above, shall be the head of the household for the purpose of issuance of a ration card. 3. Pregnant women and lactating mothers are entitled to a 'take-home ration' of 1600 calories per day during pregnancy and for six months thereafter. Which of the statements given above is/are correct?
Answer: 2 only
The Agriculture Infrastructure Fund (AIF) provides support for?
Answer: Agri-logistics and cold chains
Primary Agricultural Credit Society — the village-level tier of the three-tier short-term cooperative credit structure, below district central cooperative banks and state cooperative banks.
A capital subsidy released after a project is completed and verified, rather than paid upfront; used under the AMI scheme.
The Standard Operating Procedure of the Plan, laying down how PACS are identified, approved and supported.
FCI's commitment to rent eligible cooperative godowns, giving the project a guaranteed revenue stream.