In a significant move to strengthen agricultural infrastructure and protect farmers against input shortages, the Odisha Cabinet on Tuesday approved a major State Sector Scheme titled “Corpus Fund to OSCMF Ltd. and OSSC Ltd.”.
The scheme entails a total financial outlay of ₹1,360 crore spread over a four-year period from FY 2026-27 through FY 2029-30.
Allocation Breakup and Financial Mechanism
The scheme provides interest-free revolving corpus funds to state agencies to enable advance procurement and pre-positioning of essential agricultural supplies:
- OSCMF Ltd. (Odisha State Cooperative Marketing Federation): Allocated ₹960 crore to facilitate the advance purchase, storage, and pre-positioning of fertilizers across districts.
- OSSC Ltd. (Odisha State Seeds Corporation): Granted ₹400 crore to ensure timely procurement, seed processing, and distribution of high-quality seeds to farmers.
Direct Benefits for State Agriculture
By providing revolving liquidity to OSCMF and OSSC, the state government aims to eliminate seasonal bottlenecks in input supply chains:
- Timely Supplier Payments: The fund ensures uninterrupted cash flow for immediate settlement of payments to seed growers and fertilizer suppliers.
- Price Stability: Advance procurement shields small and marginal farmers from sudden market price fluctuations and supply deficits during peak sowing seasons.
- Enhanced Food Security: Uninterrupted input availability is expected to improve crop yields, support farming income, and boost overall food grain production in Odisha.
