strengthening of pds : government to take all possible steps

Monday, December 20, 2004

The Department of Food and Public Distribution will make all efforts to strengthen the Public Distribution System (PDS). This assurance was given by Shri Sharad Pawar, Minister of Agriculture, Consumer Affairs, Food & Public Distribution System at a meeting of Members of Parliament convened for inviting suggestions in this regard here today. The Ministry, he informed the Members, has taken up the issue of assessing the number of population below poverty line afresh by the Planning Commission by reviewing the criteria applied for this purpose as States and Union Territories have issued more cards for the BPL Section than the data issued by the Planning Commission as per its Poverty Estimates. Consequently, against the total ceiling of 6.52 crore BPL households that were to be identified as BPL the State governments have issued more than 7.6 crore BPL Ration Cards. Similarly, as against a figure of 18.03 crore households for the issue of Ration Cards, around 21.82 crore cards are in operation, the Minister observed.

As regards the high cost of procurement and distribution charges of Food Corporation of India (FCI) as alleged by various members, the Minister suggested that de-centralised procurement by State governments would considerably bring down the carrying, transportation as well as procurement cost. Procuring States would also be requested to bring down the high taxation and mandi charges for bringing down the economic cost and the food subsidy which stood at Rs. 24176.45 crore in 2003-04 as against Rs. 2450 crore in 1990-91.

Shri Pawar reiterated the need of effective monitoring of functioning of fair price shops by constituting vigilance committees in all States and Union Territories which could be headed by an elective representative of the State or Central government. Alternately, the Committee set up by the Rural Development should be requested to function as Vigilance Committee for fair price shops as well. Self-help Group, Mahila-Ex-servicemen Group should also be entrusted with a task of running fair price shops to prevent mal-practices. Measures have also been taken to make fair price shops viable by allowing them to sell more utility items other than those distributed under PDS and by removing the cap for receiving commission for distributing foodgrains to card holders. The pilot scheme of smart cards for ration distribution which is being tried out in Himachal Pradesh, Madhya Pradesh and Kerala will be extended to other regions if it found successful, Shri Pawar assured.

The meeting was attended by 300 members of Parliament who offered valuable suggestions for improving the PDS in the country.