Ministry of Cooperation
azadi ka amrit mahotsav

Procurement of fortified foodgrains by Cooperative Societies

Posted On: 16 DEC 2025 5:05PM by PIB Delhi

Fortified foodgrains including rice, pulses, lentils and peas are not procured through Cooperative Societies/Federations viz.  National Agricultural Cooperative Marketing Federation of India Ltd (NAFED) and National Cooperative Consumers' Federation of India Ltd (NCCF). However, paddy and raw pulses are procured through them.

Government of India launched a centrally sponsored scheme for fortification of rice with Iron, Folic acid and Vitamin B12. The objective of this scheme is to address the prevalence of micronutrient deficiency in vulnerable section of society by distributing fortified rice under various welfare schemes i.e. Public Distribution System, ICDS, PM-POSHAN, PMGKAY etc. Government of India has approved continuation of the universal supply of Fortified Rice under all schemes of the Government including Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) and Other Welfare Schemes etc. from July 2024 and upto December 2028.

 

A memorandum was received from Government of Tamil Nadu with requests pertaining to primary cooperative societies, cooperative banks and PACS. One request which is common to all cooperative societies including multistate cooperative societies and federations is GST exemption for cooperative products and services. The action taken by the Government on the same is as follows:-

Under the recent GST reforms, the rate on milk and paneer has been reduced to nil, while the GST on butter, ghee, cheese, milk cans etc. has been reduced from 12% to 5%. The GST on a broad category of food items including jams, jellies, fruit pulp, fruit juice-based beverages, chocolates, cornflakes, ice creams, pastries, cakes and biscuits has been reduced from 12%/18% to 5%. In the agriculture sector, the GST on key fertiliser inputs such as ammonia, sulphuric acid and nitric acid, as well as on various bio-pesticides and micronutrients has been reduced to 5%. Further, the GST on tractors below 1800 cc and essential tractor components including tyres, tubes and hydraulic pumps has been reduced to 5%, thereby lowering overall input costs for farmers and cooperatives.

 

The above reduced GST rates are expected to make the products of cooperatives competitive and increase their revenue.

 

This information was given by Union Minister for Home and Cooperation Shri Amit Shah in a written reply in Lok Sabha.

***

AK


(Release ID: 2204710) Visitor Counter : 419
Read this release in: Urdu , हिन्दी , Tamil