The Department of Food & Public Distribution (DFPD) and the Food Corporation of India (FCI) signed a Memorandum of Understanding (MoU) for Financial Year 2026–27 in New Delhi on September 8, 2026. This MoU establishes a comprehensive performance framework for FCI with defined targets aimed at improving operational efficiency, strengthening accountability, and accelerating modernization in foodgrain management.
The MoU focuses on key operational areas including reduction of storage losses, optimal utilization of storage capacity, improvement in logistics and supply chain management, and strengthening of quality control mechanisms. It emphasizes greater digitization of business processes and adoption of modern Information Technology solutions to enhance efficiency, transparency, and monitoring of FCI's operations. As part of the modernization agenda, the MoU provides for capacity building and skill development initiatives for FCI employees to effectively adopt emerging technologies and contemporary systems of foodgrain management.
A significant aspect of the framework is the linkage of MoU targets to the performance of FCI's depots through the Depot Darpan Portal, a web-based platform for assessing depot infrastructure and operational efficiency. The portal incorporates outcome- and target-based benchmarks to strengthen physical infrastructure, improve operational performance, and promote continuous improvement across FCI depots. The framework is designed to promote greater efficiency in resource utilization and ensure cost-effective and transparent use of food subsidy resources while delivering greater value to the nation.
FCI, established in 1965 under the Food Corporations Act, 1964, plays a pivotal role in maintaining India's food security by undertaking procurement, storage, movement, and distribution of foodgrains on behalf of the Government of India.