State-run Food Corporation of India (FCI) has signed pacts with two firms for construction of four silos at an estimated cost of Rs 165 crore to store wheat.
The silos would have a combined wheat storage capacity of about 1,75,000 tonnes.
As part of the agreement, Sudiksha Warehousing will construct one silo of about 25,000 tonnes capacity near Bangalore for an estimated cost of Rs 30 crore, a source said.
The other three silos of 50,000 tonnes each, would be constructed by Karthikeya Spinning & Weaving Mills in Delhi, Sanhewal in Punjab and near Guwahati. The cost of each of these silos is estimated at Rs 45 crore.
The silos will be designed, built, financed and operated by the private partner while it will be owned by the FCI, the source added.
FCI, the government's nodal agency for procurement and distribution of foodgrains, would provide guarantee of rentals for 30 years. The rentals will be revised from time to time, based on the pre-decided formula.
A silo is a steel structure, comprising large sized cylindrical bins normally with a capacity of about 12,500 tonnes each, where grains can be stored without jute bags for long duration.
At present, total storage capacity under silos is about 10.5 lakh tonnes out of which, 5.5 lakh tonnes is with FCI and the remaining with other state-agencies.
