The public distribution system in india

The policy could be implemented through an income transfer mechanism like Food Stamps or cash doles as in USA etc.

Problems of public distribution system

In fact, it remains one of the weaker components of the food policy trioka of procurement, distribution and stocking. It would help to prevent leakages and diversion of food grains to a great extent. There is also no clarity as to which families should be included in the below the poverty line list and which are not. This article is in list format, but may read better as prose. Illicit fair price shop owners have been found to create large number of bogus cards to sell food grains in the open market. States were also moving towards the norm of 20 kg. The other two components have fully exhibited their worth. However, there are concerns about the efficiency of the distribution process.

Appropriate policy changes are a must, for instance, in the post WTO period the international prices of wheat and rice came to their lowest levels. The World Bank in their report of has observed that "poverty consideration will compel India to sustain publicly sponsored foodgrain procurement, storage and distribution efforts.

The public distribution system in india

They will be free to buy food grains from anywhere in the market. They would then monitor the supplies and sales themselves to ensure that supplies reach the fair price shop in proper quantity and quality and are sold to genuine beneficiaries.

Targeted public distribution system

Revamping of PDS With the change of the political executive at the national level in , the present Prime Minister accorded very high priority to the PDS and for quite some time himself looked after the Ministry. Please help improve this section by adding citations to reliable sources. Part of the subsidy is, therefore, going to the non-poor and even to the FPS dealers, handling contractors and some state functionaries involved in unscrupulous siphoning off and replacement of commodites. The different types reforms undertaken by different states are: Adhaar Linked and digitized ration cards: This allows online entry and verification of beneficiary data. Its greatest achievement lies in preventing any more famines in India. They will be free to buy food grains from anywhere in the market. This article is in list format, but may read better as prose. A group of about 40 economists have cautioned the NAC headed by Sonia Gandhi against the food security bill as it would put an additional burden on the exchequer. The fair price dealers seldom display rate chart and quantity available in the block-boards in front of the shop. The main weakness in PDS i. Other essential commodities may also be sold. The state government would then pay back the grocery shops for the stamps, said the finance minister in his budget.

This in turn leads to low scales per household and first come first served system of delivery. Summary The government has achieved significant milestones in the PDS reforms.

Technology Based reforms: End to end computerization would bring in transparency in the whole process.

essay on public distribution system in india

This is a decisive barrier to the efficient functioning and overall success of PDS in India. States were also moving towards the norm of 20 kg.

Advantages and disadvantages of public distribution system

Other essential commodities may also be sold. You can help by converting this article , if appropriate. However, before we go on to that, a brief description of some measures already initiated by the Prime Minister When he was also holding the portfolio of the Minister for Civil Supplies, Consumer Affairs and Public Distribution in will be in order. The recent implementation of Nation food security act would only increase the quantum of procurement resulting in higher prices for grains. Lack of clarity in the planning and structuring of social safety and security programs in India has resulted in the creation of numerous cards for the poor. A group of about 40 economists have cautioned the NAC headed by Sonia Gandhi against the food security bill as it would put an additional burden on the exchequer. The Civil Supplies Corporation should open more fair price shops in rural areas. It is also said that PDS is not cost effective, its operations are too costly and the ratio between procurement and transportation is too high pointing to 'wasteful' movements. Illicit fair price shop owners have been found to create large number of bogus cards to sell food grains in the open market. It authenticates the beneficiaries and records the quantity of subsidized grains given to a family. Many FPS dealers resort to malpractice , illegal diversions of commodities, holding and black marketing due to the minimum salary received by them. Food grains to the poor, at prices lower than the price of food grains at private shops.

The survey threw up some suggestions for improvement in the functioning of PDS which without going into their details, are briefly mentioned below: i Delivery of Stocks to FPSs should be on actual and not on sample wieghment.

Many families below the poverty line are not able to acquire ration cards either because they are seasonal migrant workers or because they live in unauthorized colonies. This results in the genuinely poor being excluded whilst the ineligible get several cards.

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Public Distribution