Markfed has been undertaking the purchase of wheat under MSP for Central Pool account since 1967. The procurement of wheat as per Govt. of India specifications (Fair Average Quality) is undertaken through a network of 110 Branch Offices and 20 Distt. Offices. For the storage of wheat Markfed has its own covered storage capacity of 10 LMT and own open capacity of 5.50 MT. However the procurement of wheat every year is more than the owned storage capacity and this shortfall is met by hiring the private covered godowns and CAP (Cover and plinth) facility. As per the allocation of the wheat purchase share Markfed procures 28 to 30 Lac MT of wheat every year. As far as procurement of Central Pool wheat is concerned Markfed procures the maximum quantity in the State of Punjab among all SPAs & FCI.

During Foodgrain procurement, Markfed being an apex level/ State level Cooperative society involves CMS (Cooperative Marketing Societies) in procurement, to ensure a source of income by way of commission from its own sources.

The procured wheat is cleaned, packed, filled & weighed in Mandi yards and is further transported, unloaded and stored in the storage complexes and after the storage, preservation of wheat stock is finally handed over to FCI. For the preservation of wheat every district is equipped with a Technical-cum-Preservation Officer alongwith F.O.(Preservation), F.O.(P) and T.O. are duty bound to inspect the condition of stocks and to get the discrepancies in storage removed by guiding the Br. Officers by issuing verbal/ written advisories. The condition of wheat is reviewed in monthly T.O. meeting and DM meeting. The wheat is preserved by strictly following the spray schedule, aeration, fumigation as per laid down procedure. For exercising better control on embezzlement, pilferage, misappropriation of wheat stocks necessary SOPs with regard to deterioration, embezzlement, physical verification and other administrative matters have been implemented. Markfed aims to achieve a level of wheat storage and preservation where the losses are minimized and expenditure on upgradation, segregation of bardana usage and declaration as non issuable is avoided.

From the last so many years the actual expenses incurred on procurement are not reimbursed as interest on purchase of gunny bales and other heads there is a loss on account of less realization from FCI than expenses incurred by Markfed.
Purchase Planning, Dispatch Planning, Storage Planning:- Unlike Paddy & Rice activity the wheat crop is handled from its procurement from mandis to dispatch to FCI by Markfed staff only. The procurement is accomplished with the help of various stakeholders. Such as Punjab Mandi Board, Department of Food & Civil Supplies, Agriculture Deptt., Arhtiyas, labour, transporters.

Paddy & Rice

Markfed is one of the State Procuring agencies which procure paddy at Minimum Support Price from the farmers of the State. The quantum of purchase to be made is mandated by the department of Food Civil Supplies and Consumer Affairs, Punjab.

Paddy is stored in the rice mills allotted to Markfed by the Food Department. Resultant rice is delivered to Food Corporation of India.

During KMS 2023-24, Markfed procured 47.39 LMT of paddy for which the Government had fixed MSP @ 2203/ qtl. 1316 Rice mills were allotted to Markfed for delivery of Custom Milled Rice to the Food Corporation of India in the Central Pool. As on date Markfed had delivered 79.84% rice to FCI.