The HTS Scheme is meant for the States/ UTs, which are predominantly hilly with little or no railways and poor road communications.
In such States/UTs. the Food Corporation of India (FCI) is required to open godowns at Principal Distribution Centres (PDCs) wherever possible, or reimburse the State Governments/UTs the cost of transportation of foodgrains, on actual basis, for lifting of foodgrains from base depots of FCI to the designated PDCs
In addition to maintaining buffer stocks and for making a provision for meeting the requirement of the TPDS and other Welfare Schemes, FCI on the instructions from the Government sells wheat at predetermined prices in the open market from time to time to enhance the supply of wheat especially during the lean season and thereby to moderate the open market prices especially in the deficit regions. Wheat and Rice are also allocated to State Govts. for retail sale through non-PDS Channels under OMSS.