Theme : Agricultural Marketing and Economy
Paper:GS - 3
TABLE OF CONTENT
- Context
- Public Distribution System
- Pressing Issues
- Interventions by the Government
- Supreme Court’s Say
- Various Reforms taken by Various States
Context : Public Distribution System (PDS) was appreciated for its services during the COVID-19 lockdown.
Public Distribution System :
- It evolved as a system of management of scarcity through the distribution of food grains at affordable prices.
- Over the years, PDS has become an important part of the Government’s policy for the management of the food economy in the country.
- It is supplemental in nature and is not intended to make available the entire requirement of any of the commodities distributed under it to a household or a section of society.
- Operation: PDS is operated under the joint responsibility of the Central and the State/UT Governments. The Central Government, through the Food Corporation of India (FCI), has assumed the responsibility for the procurement, storage, transportation, and bulk allocation of food grains to the State Governments.
- Coverage: PDS coverage is determined by Section 3(2) of the NFSA 2013.
- It states that the entitlements of eligible households “shall extend up to seventy-five percent of the rural population and up to fifty percent. of the urban population.”
- Section 9 of NFSA required that the total number of persons to be covered “shall be calculated on the basis of the population estimates as per the census of which the relevant figures have been published.”
- The National Food Security Act (NFSA), 2013, through the Public Distribution System (PDS), provides a crucial safety net for roughly 800 million people.
Pressing Issues :
- Diversion of food grains and other chronic problems still exist
- The humanitarian crisis resulting from the COVID-19 lockdown made it apparent that too many were still excluded from the PDS.
- In response to the humanitarian crisis, the Government made one sensible policy decision swiftly. It doubled the entitlements of the 800 million who were already covered by the PDS .
- But that does nothing for those without ration cards.
- There is no attempt at understanding or addressing the hardships of people who are deprived of the food security net that the PDS provides.
- the Government attempts repeatedly to shift the blame to State governments.
- There have been several independent reports warning about the rising economic inequality in India.
- the Court had already taken into account the delayed Census
- There was no direction from the Court to change coverage ratios (of 50% in urban and 75% in rural areas)
Interventions by the Government :
- For 2022-23, the Centre has allocated Rs 2.06 lakh crore for food subsidy. This is 97% of the budget for the Department of Food and Public Distribution, which is in charge of the PDS
- The food security response of the government through Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) combined with One Nation One Ration Card (ONORC) during COVID-19 pandemic served as a lifeline for the people and is being hailed globally as a shining example for its efficiency and sensitivity towards poor and vulnerable sections of the society.
Supreme Court’s Say :
- In July 2022, the Supreme Court of India agreed that the prayer to increase coverage “seems to be genuine and justified”.
- It directed the Union of India to “come out with a formula and/or appropriate policy/scheme, if any, so that the benefits under NFSA are not restricted as per the census of 2011 and more and more needy persons/citizens get the benefit under the National Food Security Act”.
Various Reforms taken by Various States :
- Adhaar Linked and digitized ration cards: This allows online entry and verification of beneficiary data. It also enables online tracking of monthly entitlements and off-take of foodgrains by beneficiaries.
- Computerized Fair Price Shops: FPS automated by installing ‘Point of Sale’ Device to swap the ration card. It authenticates the beneficiaries and records the quantity of subsidized grains given to a family.
- DBT: Under the Direct Benefit Transfer scheme, cash is transferred to the beneficiaries’ account in lieu of the foodgrains subsidy component. They will be free to buy food grains from anywhere in the market. For taking up this model, prerequisites for the States/UTs would be to complete digitization of beneficiary data and seed Aadhaar and bank account details of beneficiaries. It is estimated that cash transfers alone could save the exchequer Rs.30,000 crore every year.
- Use of GPS technology: Use of Global Positioning System (GPS) technology to track the movement of trucks carrying food grains from state depots to FPS which can help to prevent diversion.
- SMS-based monitoring: Allows monitoring by citizens so they can register their mobile numbers and send/receive SMS alerts during dispatch and arrival of TPDS commodities
- Use of web-based citizens portal: Public Grievance Redressal Machineries, such as a toll-free number for call centers to register complaints or suggestions
FAQs :
-
What is the Public Distribution System ?
ANS. It evolved as a system of management of scarcity through the distribution of food grains at affordable prices. Over the years, PDS has become an important part of the Government’s policy for the management of the food economy in the country.
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Mention a few Interventions by the Government ?
ANS.
- For 2022-23, the Centre has allocated Rs 2.06 lakh crore for food subsidy. This is 97% of the budget for the Department of Food and Public Distribution, which is in charge of the PDS
- The food security response of the government through Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) combined with One Nation One Ration Card (ONORC) during COVID-19 pandemic served as a lifeline for the people and is being hailed globally as a shining example for its efficiency and sensitivity towards poor and vulnerable sections of the society.