CICU urged government to reserve food storage business and SILO business for MSMEs

Ludhiana, June 12, 2023: Upkar Singh Ahuja, President, CICU highlighted that recently by Union Cabinet announce & approve the Inter-Ministerial Committee for Facilitation of the World’s Largest Grain Storage Scheme in the Cooperation sector, which will allocate 1 lakh crore to this scheme. Various Ministry of Agriculture and farm welfare, Food & Public Distribution and the Ministry of Food Processing industry will be involved.

No doubt improvement in food storage is the need of the hour, rough estimate shows storage losses in million tons of food grain stored. It’s a huge national loss that needs to be addressed immediately.

Punjab & Maharashtra are States, where maximum food grains are wasted. Food Storage in Turplin in open and storage in old constructed godowns, where humidity and temperature are major contributors to grain loss.

The new concept is SILO Storage with bulk handling facilities are a highly mechanized and modern way for bulk storage of food grains or feed known as Silage. It is also increased the shelf life of food grains, better preserves grains and its largest way of storage worldwide.

CICU in his letter to Prime Minister, MSME Ministry, while government has planned to upgrade. The storage with 1 lakh crore investment, Indian MSMEs passing through a crucial time because of recession & low exports, and low demand in the market. It can be a game changer for Indian MSMEs & Small Businesses. If Govt. reserve this business for MSMEs.

This business should be reserved for MSMEs and not allocated to big corporates. It will help in the following:
•    Indian MSME can be a Global player in this and can export to other Countries.  
•    Maximum employment generated by the MSMEs & Small Businesses.
•    Small Modules will help employment in rural and border areas.
•    It will be cost-competitive and more SILO can be installed within the given budget.
•    MSMEs are technically competent to design, develop, install and operate storage SILO, at present.