Govt to pay Rs 17,700cr outstanding dues to FCI

The government will pay Rs 17,700 crore of outstanding dues to the Food Corporation of India (FCI) for supplying foodgrains under welfare schemes of the Rural Development ministy.

The dues, comprising Rs 10,300 crore of principal and interest thereon as on May 31, 2007, will be paid through supplementary budgetary provisions in the revised estimates of this year and that of 2008-09, said Finance Minister P Chidambaram.

The decision to liquidate the outstanding dues to FCI for giving foodgrains under Sampurna Grameen Rozgar Yojna and National Food for Work Programme was taken at a meeting of the Cabinet Committee of Economic Affairs today.

The mode of payment has to be decided.