The Royal Audit Authority (RAA) has recommended the government to provide sufficient funds to enable the Food Corporation of Bhutan Limited (FCBL) to maintain National as well as SAARC Food Security reserves.
The RAA’s latest performance audit found that inadequate fund has hindered the corporation’s ability to maintain food security reserves. This, the report, said will have serious implications in times of natural disasters and emergencies.
The FCBL was established under the Royal Charter issued in 1974 by His Majesty the Fourth Druk Gyalpo. One of its mandates is to maintain a satisfactory level of buffer and operational food and essential commodity stocks to ensure National Food Security Reserve and SAARC Food Security Reserve.
For the National Food Security Reserve, it is required to maintain food and essential commodity stock of 1,400 metric tons of rice, 200 metric tons of sugar and 58 metric tons of oil. Last year, the corporation had in its reserve 1,208 metric tons of rice, 132 metric tons of oil and 176 metric tons of sugar.
This means the quantity of rice and sugar was below the required stock level, while oil stock exceeded the required the level.
The audit performance report also stated there is a need to clarify whether the food and essential commodity stocks for the National Food Security is inclusive of the operational stock or if it has to be maintained as a separate national buffer stock.
In terms of SAARC Food Security, Bhutan, as a member of the SAARC Food Reserve Bank, is required to maintain 180 metric tons of food grains.
