Kerala to strengthen Supplyco with modern storage, supply chain reforms: CM
Such steps will enable the agency to procure essential commodities during harvest seasons at lower prices and supply them to consumers at affordable rates throughout the year, Satheesan pointed out
Kerala Chief Minister V.D. Satheesan announced that the state government plans to modernize Supplyco, a market intervention agency, by investing in storage infrastructure and supply chain management. This transformation will allow Supplyco to procure essential goods at lower prices during harvest seasons and distribute them to consumers affordably throughout the year, according to the Chief Minister.
The initiative launches as part of the UDF government's 100-day action plan in Thiruvananthapuram. The CM stated that Supplyco should become India's leading market intervention agency by adopting modern procurement, storage, and marketing practices. Kerala will follow a similar strategy used in other States, where commodities are bought in bulk during crop seasons, stored in large warehouses, and released into the market during lean seasons.
The government has studied successful models from other states and aims to create storage facilities for major subsidized commodities to reduce procurement costs, improve financial sustainability, and supply commodities below market rates. The government has also sanctioned additional funds to strengthen the Food and Civil Supplies Department and Supplyco, despite financial constraints, to ensure price stabilization and timely distribution of essential commodities.
73,024 Priority Household (PHH) ration cards and 2,000 Antyodaya Anna Yojana (AAY) ration cards were distributed, addressing many deserving applicants who were previously excluded due to changing socio-economic conditions and delays in processing applications. Anoop Jacob, Food and Civil Supplies Minister, highlighted that clearing the backlog of priority ration card applications is a flagship initiative under the government's 100-day program.
The government has allocated ₹253 crore to strengthen Supplyco's market intervention activities, and additional rice allocations through the Open Market Sale Scheme will be made available to all ration card holders at a rate of ₹27 per kg. Health Minister K. Muraleedharan emphasized the importance of ensuring safe and unadulterated food during the festival season, with stricter penalties for food adulteration and intensified inspections of food establishments.
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