The Union Cabinet on Wednesday approved a ₹1 lakh crore programme to increase foodgrain storage capacity by 700 lakh tonne in the cooperative sector.
Giving details, Information and Broadcasting Minister Anurag Singh Thakur said presently, the grain storage capacity in the country is about 1,450 lakh tonne.
In the next five years, the storage will expand to 2,150 lakh tonne.
The storage capacity will be increased in the cooperative sector.
Terming the proposed scheme as the "world's largest foodgrain storage programme" in the cooperative sector, Thakur said a 2,000-tonne capacity godown will be set up in each block.
He said the move is aimed to reduce the damage of food grains due to a lack of storage facilities, help in checking distress sales by farmers, reduce import dependence and create employment opportunities in rural India.
The minister said more storage capacity will reduce transportation costs for farmers and strengthen food security.
India annually produces about 3,100 lakh tonne of foodgrains, but the existing godowns can store only up to 47 per cent of the produce.