Poverty Alleviation by the Department of Food and Public Distribution in 2023

99.8% Fair Price Shops are automated using electronic Point of Sale (ePoS) devices for transparent and ensured distribution of subsidized foodgrains to beneficiaries

As 2023 draws to a close, the Department of Food & PublicDistribution has highlighted the following people-oriented activities by the Modi government during the year.

Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY)

The Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) was launched with the specific purpose of ameliorating the hardships faced by the poor and needy due to economic disruptions caused by the COVID-19 outbreak in the country. In view of COVID crisis, the allocation of free foodgrains, under PMGKAY was in addition to regular allocation done. A total quantity of approx. 1118 LMT foodgrains had been allocated under PMGKAY (Phase I-VII) for the period of 28 months with a total planned financial outlay was about Rs. 3.91 lakh crore.

The Central Government, in order to remove the financial burden of the poor beneficiaries and to ensure nationwide uniformity and effective implementation of the Act, had decided to provide food grains free of cost to NFSA beneficiaries i.e. AAY households and PHH beneficiaries, initially for a period of one year beginning from 1st January 2023 under the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY). Prior to that, under NFSA, subsidized food grains were distributed at Rs 3 per kg for rice, Rs 2 per kg for wheat and at Rs 1 per kg for coarse grains to beneficiaries.

As per Central Government decision, inter-alia two food subsidy schemes have been subsumed as Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY).

Keeping in view welfare of the beneficiaries and in order to strengthen the provisions of NFSA, 2013 in terms of accessibility, affordability and availability of food grains for the poor and to maintain uniformity across the States, the Central Government, has decided to continue to provide free food grains to about 81.35 crore NFSA beneficiaries (i.e. Antyodaya Anna Yojana (AAY) households and Priority Households (PHH) beneficiaries) under the PMGKAY for a period of five years with effect from 1st January, 2024, as per entitlement under NFSA.

The PMGKAY Scheme would ensure effective and uniform implementation of National Food Security Act (NFSA). Under the One Nation One Ration Card (ONORC), which is a successful initiative of portability of ration card, any beneficiary can take delivery of food grains from any FPS at uniform NFSA entitlement and price across the country. The free food grains will concurrently ensure uniform implementation of portability under One Nation One Ration Card (ONORC) across the country and will further strengthen this choice-based platform.

Distribution Data from Jan to Nov 2023 under PMGKAY

Months Distribution Quantity In (MT)

Jan.,23 40,72,922

Feb.,23 40,93,818

Mar.,23. 41,19,561

Apr.,23 40,64,491

May,23 40,84,928

Jun.,23 40,91,201

Jul.,23 41,24,719

Aug.,23 41,20,305

Sep.,23 40,65,725

Oct.,23. 41,02,089

Nov.,23* 38,42,479* Final figures of distribution under PMGKAY for the month of Nov 2023 is being collated.

Sale of Bharat Atta

To moderate the prices of wheat & atta and to make available atta to general consumers at affordable rate, 2.5 lakh MT of wheat @ Rs.21.50/kg was allocated for Semi-Government and cooperative organizations like Kendriya Bhandar, National Cooperative Consumers’ Federation of India Limited (NCCF) and National Agricultural Cooperative Marketing Federation of India Ltd.(NAFED) under OMSS(D) for converting to atta and offer it for sale to the public under ‘Bharat Atta’ brand at an Maximum Retail Price (MRP) not exceeding ₹ 27.50/Kg. The quantity of wheat allocated under the scheme has been enhanced further to 4 LMT.

Open Market Sale Scheme (Domestic) [OMSS(D)]

• Through Open Market Sale Scheme (Domestic) (OMSS(D)) during year 2023, a total quantity of 82.89 Lakh MT of wheat and 3.04 Lakh MT of rice have been sold in the open market so far, through e-auctions by FCI.

• Sale of foodgrains under OMSS(D) to all the charitable/ non-governmental organizations etc. engaged in relief operations/running relief camps for migrant labourers/vulnerable groups due to lockdown conditions has been discontinued as Covid-19 situation does not prevail now. However, the sub-scheme is being continued for sale of foodgrains to Community Kitchens @ Rs.21.50/Kg for wheat and @ Rs.24.00/Kg for rice till March, 2024.

Progress of One Nation One Ration Card plan

Starting with inter-State portability in just 4 States in August 2019, so far, the ONORC plan has been enabled in all 36 States/UTs (across the country) covering around 80 Crore NFSA beneficiaries, i.e., almost 100% NFSA population in the country. Chhattisgarh state and Assam state had joined ONORC platform in the month of February 2022 and June 2022 respectively.

Since inception of ONORC plan in August 2019, more than 125 Crore portability transactions have been recorded under the ONORC plan in the country delivering more than 241 LMT foodgrains, which includes both inter-State and intra-State transactions.

During year 2023, about 28 crore portability transactions were performed in 11 months of 2023 delivering more than 80 LMT foodgrains including inter-state and intra-state portability transactions of NFSA and PMGKAY. Presently, more than 2.5 crore portability transactions are being recorded every month under PMGKAY foodgrain distribution.

Annual Allocation of Foodgrains for 2023-24 under TPDS, OWS and Additional allocation (Flood, festival etc)

The Department of Food & PD makes allocation of foodgrains under NFSA {Antyodaya Anna Yojana (AAY), Priority Household (PHH), Tide Over, PM Poshan Scheme, Wheat Based Nutrition Programme [a component of Umbrella ICDS]} and Other Welfare Schemes such as, Scheme for Adolescent Girls, Annapurna Scheme and Welfare Institutions & Hostels Scheme (WIH). The Scheme-wise allocation for the year 2023-24 is annexed.

ANNUAL ALLOCATION OF FOODGRAINS FOR 2023-24 (In lakh tons)

Name of Scheme Rice Wheat Nutri-cereals Total

(A) TPDS (NFSA ALLOCATION)

Antyodaya Anna Yojana (AAY) 73.01 26.58 0.00 99.59

Priority Household (PHH) 280.96 137.45. 9.53 427.94

TPDS (Tide Over) 21.25 5.03 0.00 26.29

PM POSHAN (MDM) 19.36 4.26 0.00 23.61

WBNP (ICDS) 12.83 11.28 0.00 24.11

Total 407.40 184.60 9.53 601.53

(B) OTHER WELFARE SCHEMES

Hostels and Welfare institutions 2.90 0.78 0.00 3.67

Scheme for adolescent Girls (SAG) 0.225 0.225 0.00 0.45

Annapurna 0.00 0.00 0.00 0.00

Total 3.12 1.00 0.00 4.12

(C) ADDITIONAL ALLOCATION (Festival, calamity, additional TPDS etc)

Natural Calamity etc.
(MSP Rates) 0.30 0.00 0.00 0.30

Festival/Additional Requirement etc.
(Economic Cost) 0.93 0.60 0.00 1.53

Total 1.23 0.60 0.00 1.83

A+B+C Grand total 411.75. 186.20 9.53 607.49

PM’s announcement on Rice Fortification and scaling up

The Prime Minister of India in his address on the 75th Independence Day (15th August, 2021) made an announcement providing nutrition by supplying of fortified rice throughout the government schemes. Pursuant to the announcement, the Government of India has approved the supply of fortified rice throughout the Targeted Public Distribution System (TPDS) and in Other Welfare Schemes of Government of India including ICDS and PM POSHAN in all States and Union Territories (UTs) in a phased manner.

• Phase-I (2021-22): Phase-I has been implemented covering ICDS and PM-POSHAN. Nearly 17.51 LMT of fortified rice have been lifted by States/UTs for distribution under ICDS and PM POSHAN.

• Phase-II (2022-23): Implementation of Phase-II covering all ICDS, PM-POSHAN centres and 291 Aspirational and High Burden districts under TPDS and OWS has started from April, 2022. Phase-II has been completed on 31.03.2023. Nearly 136 LMT of fortified rice have been lifted by States/UTs under ICDS, PM-POSHAN and TPDS.

• Phase-III (2023-24): The implementation of Phase-III has started since April, 2023 and is under implementation till 31.03.2024. As on 01.12.2023, nearly 207.31 LMT of fortified rice have been lifted by States/UTs under ICDS, PM-POSHAN and TPDS.

Targeted Public Distribution System (TPDS) reforms

• 100% digitized ration cards/beneficiaries’ data under NFSA in all States/UTs. Details of almost 20.06 Crore ration Cards covering around 80 Crore beneficiaries are available on transparency portals of States/UTs.

• More than 99.8% Aadhaar seeding of ration cards (at least one member).

• About 99.8% (5.41 Lakh of total 5.44 Lakh) Fair Price Shops (FPSs) in the country are automated using electronic Point of Sale (ePoS) devices for transparent and ensured distribution of subsidized foodgrains to beneficiaries.

• Under distribution of foodgrains, more than 97% of the transactions have been recorded biometrically / Aadhaar authenticated by States/UTs.