CPI MP Sandosh Kumar claimed that two private firms, Adani Agri Logistics Ltd and Leap India Food & Logistics Pvt Ltd, together secured 110 out of 134 contracts under the programme.
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Questions over the future ownership and control of India’s grain storage network have reached the Centre after CPI leader in Rajya Sabha Sandosh Kumar P. sought an independent inquiry into alleged irregularities in the Food Corporation of India (FCI) silo programme and the growing concentration of food storage infrastructure among a limited number of private operators.
In a letter addressed to Union Minister for Agriculture & Farmers’ Welfare Shivraj Singh Chouhan, Sandosh Kumar urged the government to order a comprehensive investigation into the awarding of FCI silo contracts and the wider restructuring of the country’s grain storage ecosystem, warning that the developments could have far-reaching implications for farmers, public procurement, and national food security.
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The CPI leader cited reports alleging that safeguards originally proposed to prevent excessive concentration of contracts were altered during the implementation of FCI’s “Hub and Spoke” silo scheme. According to the letter, concerns have been raised over changes in tender conditions, including larger contract packages, modifications to eligibility requirements, and the removal of certain bidding mechanisms.
Referring to figures available in public reports, Sandosh Kumar claimed that two private firms, Adani Agri Logistics Ltd and Leap India Food & Logistics Pvt Ltd, together secured 110 out of 134 contracts under the programme, accounting for a dominant share of the planned silo storage capacity. The letter also alleged that Adani Agri Logistics secured a majority of the contracts awarded during the first phase of the project across several major agricultural states.
In his communication, the RS MP argued that the reported concentration of contracts raises concerns regarding transparency, competition and the overall integrity of the tendering process.
He said the allegations merit independent scrutiny, given the scale of public resources involved and the strategic importance of grain storage infrastructure for the country’s food management system.
The Rajya Sabha MP also linked the issue to proposed changes involving the warehousing sector.
According to the letter, reports suggest that a large number of warehouses under the Central Warehousing Corporation and State Warehousing Corporations could be leased to private operators for extended periods. The communication further referred to proposals involving changes to the existing legal framework governing warehousing institutions.
Highlighting the broader implications, the CPI leader said public grain storage remains central to minimum support price procurement, maintenance of buffer stocks, and the functioning of the Public Distribution System.
He cautioned that any structural changes weakening public institutions or creating excessive dependence on a small group of private operators could affect farmers, consumers, and the country’s food security architecture.
Calling the matter one of significant public importance, Sandosh Kumar urged the government to establish an independent commission of inquiry that includes representatives of farmers.
He also sought public disclosure of all relevant records and recommended that the findings of the proposed inquiry be placed before Parliament. According to the letter, such a process would help establish the facts, determine accountability where necessary and strengthen public confidence in institutions responsible for safeguarding food security and protecting the interests of farmers and consumers.
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