Centre receives 38 technical bids for DBFOT tender to set up silos at 14 locations

New Delhi, Aug 16 (IANS) Officials in the Department of Food and Public Distribution said on Tuesday that it has received overwhelming response towards the technical bids of Design, Build, Fund, Own & Operate (DBFOT) tender to develop a capacity of 111.125 LMT of Hub and Spoke model silos at 249 locations across the country.

A total of 38 bids have been received against four bundles comprising 14 locations in Uttar Pradesh, Bihar, Rajasthan, Punjab, Maharashtra and Madhya Pradesh. A total of 15 prospective parties have shown interest and submitted their bids. Technical evaluation is expected to be completed in three-four weeks.

With a view to modernise foodgrain storage infrastructure in the country, the Department of Food and Public Distribution had proposed to develop a capacity of 111.125 LMT of Hub and Spoke model silos at 249 locations across the country.

Hub and Spoke model is a transportation system which consolidates the transportation assets from standalone locations referred to as 'Spoke' to a central location named as 'Hub' for long distance transportation.

Hubs have a dedicated railway siding and container depot facility while the transportation from Spoke to Hub is undertaken through road and from Hub to Hub via rail.

This model, by harnessing the efficiency of railway siding, promotes cost efficiency through bulk storage and movement, reduces cost and time of handling and transportation and simplifies operational complexities in addition to economic development, infrastructure development and employment generation in the country.

Besides, silo is declared as a sub-mandi yard which brings ease of procurement for farmers and leads to reduction in logistics cost, said a food department official.

Under the Hub and Spoke model, the department has proposed to develop a capacity of 111.125 LMT of Hub and Spoke silos at 249 locations across the country.