Ministry of Cooperation
World’s Largest Grain Storage Plan in Cooperative Sector in Bihar
Posted On: 25 MAR 2026 4:54PM by PIB Delhi
As per the information received from the State of Bihar, a total of 36 Primary Agricultural Credit Societies (PACS) have been identified under the Plan and approved by respective District Cooperative Development Committee (DCDC).
The State of Bihar has informed that PACS are yet to be identified under the World’s Largest Grain Storage Plan in Patna District.
The World’s Largest Grain Storage Plan in Cooperative Sector is being implemented through convergence of various existing schemes of the Government of India (GoI), such as, Agriculture Infrastructure Fund (AIF), Agricultural Marketing Infrastructure Scheme (AMI), Sub Mission on Agricultural Mechanization (SMAM), Pradhan Mantri Formalization of Micro Food Processing Enterprises Scheme (PMFME), etc. The total estimated project cost of the 36 approved PACS is Rs. 104.3 crores. Under the Agricultural Marketing Infrastructure (AMI) Scheme 33% subsidy on the total project cost is given to PACS for the construction of foodgrain storage. Additionally, a provision has also been made to provide an additional subsidy of 1/3 (one third) of the total admissible subsidy for ancillary infrastructure such as internal roads, weighbridges, boundary walls, etc. Further, Under the AIF Scheme the benefit of interest subvention is given to the PACS against the loan taken for construction of godowns.
The Plan also utilizes NABARD’s special refinance scheme to significantly reduce the financial burden on participating cooperatives. When combined with the 3% interest subvention available under the AIF, the effective loan interest rate for PACS is reduced to 1% under World’s Largest Grain Storage Plan.
According to the State of Bihar, under the World’s Largest Grain Storage Plan, loan amount of Rs. 71.63 crores have been sanctioned so far by concerned District Central Cooperative Banks and the Bihar State Cooperative Bank.
The State of Bihar has informed that it has already assessed the requirement of creating storage capacity at PACS level and accordingly under State Government Plan a total of 7,286 godowns have been constructed so far, creating a storage capacity of 17.47 lakh MT. During 2025-26 under the State Government Plan, 278 godowns have been sanctioned for PACS and Vyaparmandals and Rs. 180.20 crores have been released for the construction of godowns.
These decentralized storage at the village/PACS level is expected to significantly reduce post-harvest losses by enabling scientific storage closer to farms and minimizing handling. Localized storage also lowers transportation distances and associated costs by reducing repeated long-haul movements to distant warehouses or mandis. Collectively, these measures improve price realization for farmers, enhance supply-chain efficiency, and strengthen food security outcomes.
This information was given by Union Minister for Home and Cooperation Shri Amit Shah in a written reply in Rajya Sabha.
*****
AK/AP
(Release ID: 2245140) Visitor Counter : 60
