Food Min hikes usage charges for gunny bags by 40 pc to Rs 10.22 per used bag

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New Delhi, Aug 29 (PTI) The Centre on Friday increased usage charges for gunny bags by 40 per cent to Rs 10.22 per used bag, a move aimed at providing financial relief to States and Union Territories as well as improving procurement operations.

In an official statement, Union Food and Consumer Affairs Minister Pralhad Joshi said, the "Government of India has increased usage charges for gunny bags by nearly 40 per cent, bringing financial relief to State Governments and Union Territories in the country." The decision is aimed at ensuring smooth procurement operations and supporting sustainable packaging practices, he said, adding that the Centre-State cooperation would also improve in foodgrain procurement and distribution.

The Centre received requests from various states and UTs for the revision.

The Department of Food and Public Distribution, under the Food and Consumer Affairs, constituted a committee to look into this issue.

The committee comprised members from State Governments/UTs and the Food Corporation of India (FCI) for a comprehensive review of packaging charges.

State Governments of Andhra Pradesh, Punjab, Madhya Pradesh, Telangana, Uttar Pradesh and Haryana provided their suggestions to the committee.

"On the basis of recommendations of the committee, the Government of India has revised usage charges from Rs 7.32 per used bag to Rs 10.22 per used bag or the actual cost incurred by the State Govt/UT, whichever is lower," the statement said.

The usage charges for used gunny bags are increased in proportion to the rise in the cost of new gunny bags from KMS (kharif marketing season) 2017-18 to KMS 2024-25. The revised rate is applicable from KMS 2025-26 onwards. PTI MJH MJH SHW