The World is Flat A compilation for a book review presentation done by: Saurabh Dixit December 2008.
Compilation e Book
Transcript of Compilation e Book
-
8/16/2019 Compilation e Book
1/28
Government of IndiaMinistry of Consumer Affairs, Food and Public Distribution
Department of Food and Public Distribution
“ nsuring food security for citizens of the country”
Narendra Modi
Hon’ble Prime Minister of India
Ram Vilas Paswan
Hon’ble Minister for C.A, F&PD
-
8/16/2019 Compilation e Book
2/28
The primary policy objective of the Department of Food & Public
Distribution is to ensure food security for the country through timely and
efficient procurement and distribution of Food grains. This involves
procurement of various Food grains, building up and maintenance of foodstocks, their storage, movement and delivery to the distributing agencies and
monitoring of production, stock and price levels of Food grains.
The focus is on incentivizing farmers through fair value of their produce by
way of Minimum Support Price mechanism, distribution of Food grains to
Below Poverty Line (BPL) families and covering poor households at the risk
of hunger under Antyodaya Anna Yojana (AAY), establishing grain banks in
food scarce areas and involvement of Panchayati Raj Institutions in Public
Distribution System (PDS).
The Department is also responsible for formulation of policies concerning
the sugar sector such as fixing of Fair and Remunerative Price (FRP) of
sugarcane payable by Sugar factories, development and regulation of sugar
industry (including training in sugar technology). The Department also
formulates policies on export and import of food grains, sugar and edible
oils.
-
8/16/2019 Compilation e Book
3/28
-
8/16/2019 Compilation e Book
4/28
SIGNIFICANT ACTIVITIES AND
ACHIEVEMENTS
OF
DEPARTMENT OF FOOD & PUBLIC DISTRIBUTION
GOVERNMENT OF INDIA
MINISTRY OF CONSUMER AFFAIRS,
FOOD & PUBLIC DISTRIBUTION
-
8/16/2019 Compilation e Book
5/28
CONTENTS
S. No. TITLE PAGE No.
1. Significant Achievements 1-8
2. Food grains Management & Food Security 9-11
3. Distribution of Food grains 12-14
4. Reforms in Sugar Sector 15-16
5. Digital India 17-19
6. Swachh Bharat Mission 20-22
-
8/16/2019 Compilation e Book
6/28
1
Chapter-1
SIGNIFICANT ACHIEVEMENTS
Number of States/UTs implementing National Food Security Act, 2013
increased from 11 to 25
Major reforms in Public Distribution System (PDS) during 2015.
Digitisation of Ration Cards completed in 34 States.
Online foodgrains allocation started in 19 states.
Procurement policy modified to provide benefits of MSP to more farmers for
paddy procurement
Sustained efforts bring the cane price arrears due to farmers from a peak of
Rs.21,000 crore to Rs. 3476 crore
New provisions to promote quality products & services and to boost consumer
protection
New initiative taken to upgrade and modernize storage capacity.
The National Food Security Act which was enacted in 2013, had been
implemented in only 11 States/UTs. By then end of 2015, the number of States/UTs
implementing the Act has increased to 25.
The Government achieved significant milestones in the reforms of PDS by
making it more transparent and leak proof. During 2015 digitisation of ration cards
has been completed in 34 States while it was just 19 in the beginning of the year, the
number of States with online foodgrains allocations increased from 9 to 19 during the
year and online grievance redressal has been introduced by 36 States/UTs. Direct cash
transfer of food subsidy to the beneficiaries started in Chandigarh and Puducherry in
September, 2015.
Based on the recommendation of High Level Committee (HLC) on restructuring
of FCI, procurement policy for paddy modified to ensure increased reach of MSP
operations to more farmers. Millers levy on rice was abolished. The Government also
provided relief to the farmers during the year by relaxing procurement norms for their
crops affected by the unprecedented rains & hailstorms.
Due to sustained efforts to facilitate payment of sugarcane dues to the farmers,the arrears have come down to Rs. 3476 crore at the end of December, 2015 from a
peak of Rs. 21,000 crore in the sugar season of 2014-15.
-
8/16/2019 Compilation e Book
7/28
2
Highlights of other initiatives are as under:
Improving Foodgrain Management
A High Level Expert Committee under the Chairmanship of Shri Shanta Kumar,
MP, was constituted to make recommendations on re-structuring of FCI. Based onthe recommendations, several measures have been initiated to improve the
functioning of FCI and to bring in cost efficiency in its operations.
To bring all operations of FCI Godowns online and to check leakage, “ Depot
Online” system initiated and integrated security system is being set up in all
sensitive depots.
Sufficient food grains are available in Central Pool Stocks of FCI. Stocks as on
01.12.2015 are 368.26 lakh MT, comprising 268.79 lakh MT wheat and 99.47 lakh
MT rice.
Besides 12 States/UTs which are already under Decentralised Procurement(DCP),
Telangana has become a new DCP State for procurement of rice and Andhra
Pradesh & Punjab have also adopted this system partially during 2014-15 to
improve the efficiency of foodgrains procurement and distribution operations.
The Government of India has approved approximately 111 lakh MT of wheat and
20 lakh MT of Grade-A rice for sale in the year 2015-16 under Open Market Sale
Scheme (OMSS), out of which, 36.87 lakh MT of wheat and 0.57 lakh MT ofGrade-A rice was sold by the end of December, 2015.
Adequate supply of food grains made using multi-modal transport in North Eastern
States despite disruption in rail route due to gauge conversion from Lumding to
Badarpur. 80,000 MT foodgrains moved through roads every month besides
creating additional storage of 20000 MT in the region. Foodgrains also inducted
into Tripura via Bangladesh through riverine route during Mega Block.
1,03,636 MTs of Rice have been moved from Andhra Pradesh to Kerala for the first
time through riverine/coastal movement in 2014-15.
Adequate supplies of food grains maintained during natural calamities of Hud-Hudcyclone in Andhra Pradesh and devastating floods in J&K.
The Government has revised the buffer norms w.e.f. January, 2015 and
Nomenclature of buffer norms has been changed to “Foodgrain stocking norms forthe Central Pool”. The Government has revised the norms for better management of
foodgrain stocks.
During 2015-16 both storage losses and transit losses have been reduced to(-) 0.03% due to storage gain in wheat and 0.39% against MoU target of 0.15% and0.42% respectively.
1
-
8/16/2019 Compilation e Book
8/28
-
8/16/2019 Compilation e Book
9/28
4
ration cards have been seeded with Aadhaar, Supply chain management
implemented in 10 states/UTs, Online allocation of foodgrains implemented in 19
states/UTs, 62,680 Fair Price Shops (FPS) automated by installing ‘Point of Sale’
device, Toll free help lines and online grievance redressal system implemented in
all States/UTs to display all operations of TPDS.
At the end of one year after National Food Security Act, 2013 (NFSA) came into
force, i.e, upto July, 2014, implementation of the Act had started in 11 States/UTs.
Since then, 14 more States/UTs have started implementing NFSA and the totalnumber of States/UTs now implementing the Act is 25.
In order to facilitate direct cash transfer of food subsidy to the beneficiaries,
Government has notified “Cash Transfer of Food Subsidy Rules, 2015” on
21.08.2015 under the NFSA. These rules provide that Direct Benefit Transfer
(DBT) scheme will be implemented in a State/UT with the consent of the concerned
State Government/UT Administration. Accordingly, keeping in view of checking of
leakage and diversions, this Department is pursuing with States/UTs to opt for DBT
scheme in lieu of foodgrains under which subsidy component will be credited to
bank accounts of beneficiaries who will be free to buy foodgrains from anywhere in
the market. For taking up this model, pre-requisites for the States/UTs would be tocomplete digitization of beneficiary data and seed Aadhaar and bank account details
of beneficiaries. The scheme has been launched in Chandigarh and Puducherry
w.e.f. September, 2015.
The Central Government also decided to share 50% (75% in the case of Hilly anddifficult areas) of the cost of handling & transportation of foodgrains incurred by
the states and the dealer’s margin so that it is not passed on to the beneficiaries and
they get coarse grain @ Rs. 1/Kg, wheat @ Rs. 2/Kg and rice @ Rs. 3/Kg.
Department Food & PD’s ‘Group’ namely “Food Security” was opened @ myGov
portal i.e. www.myGov.in for engaging with citizens by inviting theircomments/suggestions on various issues from time to time. Under the said Group
‘Food Security’ a discussion thread namely ‘Improving the TPDS’ was opened for a
period of one month during February, 2015. Suggestions /comments received from
citizens have been shared with the States/UTs as well as within the Department forsending an action taken report on the suggestions accepted and the action taken or
to be taken on them for achieving the objective of an improved TPDS.
Relief to the Farmers
In order to give relief to the farmers affected by the unprecedented rains &
hailstorms, Government relaxed the quality norms for the wheat procurement to the
maximum possible. The Central Government decided to reimburse the amount of
value cut imposed on such relaxation to the State Government/their agencies so that
farmers can get full Minimum Support Price (MSP) even for shrivelled and broken
wheat grains having lustre loss. Such a farmer’s centric step was taken for the firsttime by the Central Government.
http://www.mygov.in/http://www.mygov.in/http://www.mygov.in/
-
8/16/2019 Compilation e Book
10/28
5
Govt. agencies procured 280.88 lakh MT wheat during RMS 2015-16, providing
relief to the farmers affected by freak rains and hailstorm.
The Government has enhanced custom import duty on wheat from 10 % to 25%
w.e.f. 19.10.2015 to help the Indian Farmers.
The Government has also relaxed procurement norms of paddy and resultant rice
during KMS 2015-16 in affected areas of Andhra Pradesh and Uttar Pradesh on the
request of State Government to help the farmers and to avoid the distress sale.
The drop in international prices of imported oils was affecting the prices of
domestically produced edible oils consequent upon which farmers’ interest was
affected. Department of Food and Public Distribution had recommended an increase
in the import duty on edible oils with a dynamic range which varies according to
international prices. Accordingly, Department of Revenue, vide Notification No.
46/2015-Customs dated 17.09.2015 increased the import duty on Crude oils fromexisting 7.5% to 12.5% and the import duty on Refined oils from existing 15% to
20%.
Millers levy on rice abolished
With effect from 01.10.2015, levy of rice on millers has been discontinued. This
will save farmers from exploitation and now they will not depend on millers for
selling their paddy. This initiative has improved delivery of MSP to the farmers for
paddy even in the situation of market prices ruling below the MSP, especially in the
states of Andhra Pradesh, Telangana, Uttar Pradesh and West Bengal, where the
farmers are substantially dependent on millers for selling their paddy.
During Kharif Marketing Season (KMS) 2013-14 only a quantity of 8.52 lakh MT
of paddy had been purchased directly from the farmers by the State Agencies in
unified Andhra Pradesh, but in KMS 2014-15, such direct purchase of paddy has
gone upto 36.76 lakh MT in Andhra Pradesh and Telangana together. The reduction
of levy in KMS 2014-15 has not resulted in any substantial reduction of overall
procurement of rice in these two States till date compared to KMS 2013-14.Similarly in Uttar Pradesh, the procurement of paddy has gone up from 9.07 lakh
MT in previous season to 18.18 lakh MT in current season and overall procurement
of rice has gone up from 11.05 lakh MT of previous season to 16.10 lakh MT till
April, 2015. In West Bengal also, the procurement of paddy has gone up from 5.79
lakh MT in previous season to 13.29 lakh MT in current season and overall procurement of rice has gone up from 8.27 lakh MT to 13.31 lakh MT till April,
2015.
Outreach of MSP increased in Eastern States for paddy farmers:
In a bid to increase reach of minimum support price (MSP) operations to more
farmers and increase procurement of paddy, a policy for engagement of private
-
8/16/2019 Compilation e Book
11/28
6
players in procurement in Eastern States has been formulated this year . Now
Private firms have been allowed to procure paddy from farmers in a cluster,
indentified by the respective state government in the states of Assam, Bihar, Eastern
Uttar Pradesh, Jharkhand and West Bengal, where the Food Corporation of India
(FCI) does not have a robust procurement mechanism which often forces farmers to
go for distress sale. Private firms would deliver custom milled rice (CMR) at theFCI or state government-owned agency godowns.
Reforms in Sugar Sector & steps taken to liquidate Cane Price Arrears of farmers
Sugar production during current sugar season is estimated to be sufficient for
domestic consumption requirements.
To facilitate clearance of cane price arrears of the farmers relating to FRP for the
sugar season 2014-15, a scheme for extending soft loans to the extent of Rs. 6000crore to the sugar industry was notified on 23.06.2015. Rs 4152 crore have been
disbursed under the scheme. The government also extended period by one year for
achieving eligibility under the soft loan scheme and decided to bear the interest subvention cost to the extent of Rs. 600 crore for the extended period . This will
extend benefits to larger number of farmers by enabling more mills to avail the
benefits of the scheme. It has also been decided that after clearing cane dues of
farmers, subsequent balance, if any, will be credited into the mill accounts. This will
benefit about 150 additional sugar mills which had proactively liquidated more than
90 percent of their cane dues payable. This would ensure that mills are incentivizedfor arranging bridge finances for timely clearance of cane dues to farmers.
Direct Subsidy to farmers, Government decided to pay a production linked subsidy
of Rs 4.50 per quintal in 2015-16 seasons, to sugar mills to offset the cost of caneand facilitate timely payment of cane price dues of farmers for sugar season 2015-
16. A notification in this regard issued on 2.12.2015. Funds released under the
scheme shall be directly credited into farmers’ accounts.
The export incentive on raw sugar has been increased from Rs 3200/MT to Rs.
4000/MT. Funds have been allocated to support 14 lakh MT of raw sugar exports asagainst 7.5 LMT achieved last year. In September 2015 Government also
announced quotas for mills and co-operatives for mandatory exports of four million
tonne of sugar in 2015-16.
The Government has enhanced import duty on sugar from 25% to 40% to
discourage imports. Also, to prevent leakages of sugar in the domestic markets, the
export obligation period has been reduced from 18 months to 6 months under the
Advanced Authorization Scheme.
Blending targets under Ethanol Blending Programme (EBP) has been scaled up
from 5% to 10%. Remunerative prices for Ethanol supplied under EBP has been
-
8/16/2019 Compilation e Book
12/28
7
fixed in the range of Rs. 48.50-49.50 per litre, a substantial increase over previous
years. As a result, the supplies of ethanol for blending have increased from about 32
crore litres per year to 103 crore litres per annum. Excise duties on ethanol supplied
for blending in the next sugar season has also been waived off to further incentivize
ethanol supplies for the blending program. This would further increase the ex mill
price of ethanol and help improving liquidity in the industry facilitate payment ofcane price arrears.
In order to mobilise more funds for various intervention to be undertaken to
facilitates liquidation of arrear of cane dues, such as interest subvention based soft
loans, export incentives and production assistance, amendment in the Sugar Cess
Act, 1982 was introduced in the Parliament.
Due to sustained efforts to facilitate payment of sugarcane arrears to the farmers,
arrears came down to Rs. 3476 crores at the end of December, 2015 from Rs.
21,000 crore in the sugar season 2014-15.
The Government has extended the incentive benefits on Marketing and Promotion
Services of Raw Sugar Production @ Rs 4000 per MT for the sugar season 2014-
15.
The fair & Remunerative Price (FRP) of sugarcane payable to the farmers in sugar
season 2015-16 by sugar mills has been enhanced by Rs. 10/- per quintal to Rs. 230
per quintal.
A web-based platform to facilitate the sugar mills for submission of inputs has been
started. Online data regarding production, cane price arrears, etc. are accessible for
States. In order to reduce inventory levels, the Government has notified mill-wise
Minimum Indicative Export Quota (MIEQ) to be exported by sugar mills. Also, theGovernment has formulated a national grid allocating the concerned mills havingethanol distillation capacity to produce and supply ethanol to Oil Marketing
Companies (OMCs) to achieve blending levels of 10%.
Other Achievements
FCI has started procurement of pulses from farmers at market price and is also
working on procurement plan for oilseeds to ensure MSP for farmers.
In ord er to have better targeting of ‘Other Welfare Schemes’ for poor, a Committee
of Ministers set up under the Chairmanship of Hon’ble Minister for Consumer Affairs, Food and Public Distribution. The Committee not only decided
continuation of foodgrain allocation for other welfare schemes but also nutritional
support by providing milk and eggs etc. under the schemes.
-
8/16/2019 Compilation e Book
13/28
8
The Central Warehousing Corporation (CWC) has achieved an all time high
turnover of Rs. 1562 crore in 2014-15 and paid a dividend of Rs.20.21 crores to
the Government.
-
8/16/2019 Compilation e Book
14/28
-
8/16/2019 Compilation e Book
15/28
10
Procurement of Food Grains
The Central Government extends price support to paddy, wheat and coarse
grains through the Food Corporation of India (FCI) and State Agencies. All the
foodgrains conforming to the prescribed specifications offered for sale at specified
centers are bought by the public procurement agencies at the Minimum Support
Price (MSP). The producers have the option to sell their produce to FCI/StateAgencies at MSP or in the open market as is advantageous to them. Foodgrains
procured by the State Governments and their agencies are ultimately taken over by
the FCI for distribution throughout the country.
To improve outreach of MSP operations to cover more farmers and extend
direct benefits to them, the Government has discontinued the levy on rice since
October, 2015. With a view to effect savings in the form of reduction in the outgoof food subsidy, enhancing the efficiency of procurement and PDS and encouraging
local procurement to the maximum extent thereby extending the benefits of MSP to
local farmers, scheme of Decentralized Procurement (DCP) of foodgrains was
introduced in 1997-98. Under the DCP, the State Government itself undertakesdirect purchase of paddy and wheat and procurement of levy rice on behalf of
Government of India. The Central Government meets the entire expenditure
incurred by the State Governments on the procurement operations as per the
approved costing. Presently 12 States / UTs viz. West Bengal, Madhya Pradesh,
Bihar, Chhattisgarh, Odisha, Tamil Nadu, Karnataka, Kerala, Uttarakhand, Gujarat,Telangana and A&N Islands are undertaking paddy/wheat procurement under thescheme. In addition, the States of Andhra Pradesh and Rajasthan have partially
adopted the scheme for limited number of districts while the State of Punjab has
adopted it for supply under the National Food Security Act, 2013.
Sufficient food grains are available in Central Pool Stocks of FCI. Stocks as
on 01.12.2015 are 368.26 lakh MT, comprising 268.79 lakh MT wheat and 99.47
lakh MT rice.
Silos
-
8/16/2019 Compilation e Book
16/28
11
Trend of production & procurement of Wheat and Rice during the last five
years is as under:
Wheat Rice
Movement of Food Grains
Food Corporation of India undertakes the activities connected with themovement of foodgrains for the Public Distribution System and other welfare
schemes. Movement division in the Department closely monitors the movement and
co-ordinates with FCI and Railways. Optimum evacuation of foodgrains from the
procuring regions and induction and stocking of foodgrains in the North Eastern
States, Jammu & Kashmir and other deficit areas, identified from time to time isspecially monitored.
FCI has also initiated coastal movement of foodgrains from Andhra Pradesh
to Kerala and riverine movement in NE States. Despite disruption in rail route dueto gauge conversion from Lumding to Badarpur in NE States and natural calamities
of Hud-Hud cyclone in Andhra Pradesh and devastating floods in J&K, food
supplies of food grains were maintained in the States.
Disposal of Surplus Food Grains under Open Market Sale Scheme
The Government of India has approved sale of approximately 111 lakh MT
of wheat and 20 lakh MT of Grade-A rice under Open Market Sale Scheme
(OMSS), out of which 36.87 lakh MT of wheat and 0.57 lakh MT of Grade-A ricewas sold by the end of December, 2015 through E-Tender/Auction.
868.74948.82
935.01 958.49 889.38
225.14 283.85381.48
250.92 280.23
0
200
400
600
800
1000
1200
2010-11 2011-12 2012-13 2013-14 2014-15
Production (in lakh tonnes)
Procurement (in lakh tonnes)
959.8
1053.01 1052.41 1066.45 1047.98
341.98350.41 340.44 318.45 321.70
0
200
400
600
800
1000
1200
2010-11 2011-12 2012-13 2013-14 2014-15
Production (in lakh tonnes) Procurement (in lakh tonnes)
* As on 01.01.2016
Movement of foodgrains by rail to Adanis Scientific
Silo at Kaithal (Haryana)Coastal movement of foodgrains
Marketing Seasons Marketing Seasons
-
8/16/2019 Compilation e Book
17/28
12
Chapter-3
DISTRIBUTION OF FOOD GRAINS
Government is committed to provide food grains - wheat and rice, atreasonable prices to the weaker sections of the society. Food grains are allocated to
State/UT Governments for distribution under Targeted Public Distribution System(TPDS)/ National Food Security Act (NFSA) and Other Welfare Schemes (OWS).
Allocation of Food Grains under TPDS/NFSA
Government has enacted the National Food Security Act, 2013, which came
into force w.e.f. 05.07.2013. Under the Act, eligible households are entitled to
receive foodgrains at highly subsidized price of Rs.1/-, Rs.2/- and Rs.3/- per kg for
coarsegrains, wheat and rice respectively @ 35 kg per family per month toAntyodaya Anna Yojana (AAY) families and @5 kg per person per month to
priority households. So far, implementation of the Act has started in 25 States/UTs
i.e. Andhra Pradesh, Assam, Delhi, Goa, Haryana, Rajasthan, Himachal Pradesh,
Bihar, Punjab, Karnataka, Chhattisgarh, Maharashtra, Madhya Pradesh, West
Bengal, Chandigarh, Lakshadweep, Tripura, Puducherry, Uttarakhand, Jharkhand,
Telangana, Odisha, Sikkim, Uttar Pradesh and Daman & Diu. Out of these
States/UTs, the UTs of Chandigarh and Puduchery are following DBT mode and providing direct cash transfer of food subsidy to the beneficiaries. In remaining
States/UTs which are not under NFSA coverage, foodgrains are being allocatedunder existing TPDS.
The States/UTs which have not implemented NFSA are being allocatedfoodgrains under the existing Targeted Public Distribution System (TPDS) under
which Government of India has been making allocation of foodgrains @ 35kg per
family per month for Antyodaya Anna Yojna (AAY) and Below Poverty Line
(BPL) families and @ 10kg-35kg per family per month for Above Poverty Line
(APL) families. These non-NFSA States/UTs have also been allocated additional
foodgrains for APL and BPL families till implementation of the Act.
For the year 2015-16, an allocation of 278.25 lakh MT of foodgrains has been
made under NFSA and 216.54 lakh MT of foodgrains has been made to States/UTs
which have not implemented NFSA so far, under existing TPDS. In addition a
quantity of 52.18 lakh MT has been allocated for APL and BPL families in the non-
NFSA States/UTs. The Government has also allocated a quantity of 11.14 lakh MTfor natural calamities, festivals and additional TPDS requirements, etc.
-
8/16/2019 Compilation e Book
18/28
13
Allocation of Food Grains under Other Welfare Schemes
The Government also makes allocation of subsidized foodgrains for the Other
Welfare Schemes (OWS) administered by various Ministries/Departments of the
Central Government such as Mid-day-Meal Scheme (administered by M/o Human
Resources Development), Wheat Based Nutrition Programme (administered by M/o
Woman & Child Development), Rajiv Gandhi Scheme For Empowerment of
Adolescent Girls - SABLA (administered by M/o Woman & Child Development),
Annapurna Scheme (administered by M/o Rural Development), Welfare Institutions
Schemes and SC/ST/OBC Hostels Scheme (both administered by D/o Food &
Public Distribution). During the current year, the Government has so far allocated a
quantity of 51.97 lakh MT under OWS.
Status of Implementation of NFSA
NFSA provided for a period not exceeding 365 days after the commencement
of the Act for identification of eligible households for receiving subsidized
foodgrains under Targeted Public Distribution System (TPDS). At the end of this
one year period i.e. 04.07.2014, implementation of the Act had started only in 11States/UTs. Accordingly the time period for identification of beneficiaries had to
be extended thrice, upto 30.09.2015. In the last 6 months, 14 more States/UTs have
implemented the Act and the total no. of such States/UTs now is 25.
Preparedness of States/UTs for implementation of the Act is regularlyreviewed. A National Consultation Meeting was held on 7th July, 2015 with the
Food Ministers of the States/UTs under the chairmanship of Hon’ble Minister for
Consumer Affairs, Food & Public Distribution. Secretary (F & PD) also reviewed
the progress in a meeting held on 1st September, 2015 with the Food Secretaries of
States/UTs where implementation of the NFSA has not started yet/partially startedor where progress of end-to-end computerization of Targeted Public Distribution
System (TPDS) scheme is slow. A workshop to review the preparedness of North-
Eastern States for computerization of TPDS, NFSA roll out and their Fair Price
Shop (FPS) automation was held on 19th November, 2015 in Guwahati. On 23rd November, 2015 a one day Conference of Food Secretaries of all States/UTs was
organized in New Delhi under the chairmanship of Hon’ble Minister for Consumer
Affairs, Food and Public Distribution to review the progress of end-to-endcomputerization of TPDS operations, implementation of NFSA, FPS automation
and other reforms in TPDS. Status of their preparedness to implement the Act and
the progress of TPDS computerization was reviewed and need for early
implementation of the Act was stressed in the meeting.
The TPDS (Control) Order, 2015 notified by the Department regulates theimplementation of TPDS as per the provisions of the NFSA in the States/UTs. It
supersedes the existing PDS (Control) Order dated 31.08.2001. However, the
-
8/16/2019 Compilation e Book
19/28
14
provisions of the PDS (C) Order, 2001 shall continue to have effect as against the
corresponding provisions of the TPDS(C) Order, 2015, in any State which has not
implemented the NFSA or is implementing it only in part.
Hon’ble Minister in National Consultation Meeting with the Consumer Affairs and Food
Ministers of States/UTs held on 07.07.2015.
Hon’ble Minister for Consumer Affairs, Food & Public Distribution in a
National Consultation Meeting with the Consumer Affairs and Food Ministers of
States/UTs on 07.07.2015 inter-alia reviewed the progress of preparedness ofStates/UTs for implementation of the National Food Security Act, 2013.
-
8/16/2019 Compilation e Book
20/28
15
Chapter-4
REFORMS IN SUGAR SECTOR
Since last five sugar season, the production of sugar have been more than the
domestic demand, leaving surplus for export. Production of sugar during the last 4years is as under:
Excludes 6.76 lakh tonnes white sugar produced from imported raw sugar.Excludes 1.05 lakh tonnes white sugar produced from imported raw sugar.
(P) - Provisional
The Central Government has de-controlled the sugar sector in April, 2013.
The levy obligation on sugar mills has been removed. The State Governments/UT
administrations have been asked to procure sugar for PDS from the open marketthrough a transparent system. To make sugar available in the PDS the Central
Government is reimbursing to the States/UTs @ Rs.18.50 per kg, limited to the
quantity based on their existing allocations.
Total sugar subsidy burden on the Government exchequer is estimated to beat about Rs.5000 crore per annum for estimated supply of 27 lakh tonnes. So far,
30 States/UTs have participated in the new subsidy scheme from June 2013
onwards and Rs. 4500.00 crores has been released to these States/UTs including
FCI during 2014-15.
The Cane price arrears for the sugar season 2014-15 has come down to Rs.3476 crores at the end of December, 2015 from Rs. 21,000 crore. Government has
implemented two schemes namely, ‘Scheme For Extending Financial Assistance
to Sugar Undertaking (SEFASU-2014)’ and ‘incentive for marketing and
promotion services for raw sugar production’ to help the sugar mills to clear cane
price arrears of the farmers. The Government has decided to provide soft loans to
the extent of Rs. 6000 crore to the sugar industry to facilitate clearance of cane
price arrears of the farmers relating to FRP for the current sugar season 2014-15.To ensure that farmers are paid their dues expeditiously, the Government has
mandated that banks pass on the financial assistance directly to the cane growers
263.43
251.83245.54
270
227.25 230243
248
200210
220
230240
250260270280290300
Production of Sugar(Figure in lakh tonnes)
-
8/16/2019 Compilation e Book
21/28
16
after obtaining the list from the mills. Furthermore, in order to incentivize the mills
to clear their dues, the Government has also decided that the approved soft loans
will be provided to those units which have cleared at least 50% of their
outstanding arrears. The Government has provided one year moratorium on thisloan, and will bear the interest subvention cost to the extent of Rs. 600 crore for
the said period.
Hon’ble Minister in a meeting with the Ministers of major sugarcane growing
States
-
8/16/2019 Compilation e Book
22/28
17
Chapter-5
DIGITAL INDIA
Department of Food & Public Distribution has been playing a pioneer role in
propagating IT based development, solutions to facilitate rapid growth andtransformation in the ICT culture for efficient and effective delivery of services.
Department is constantly in the pursuit of developing/implementing state of-the-art
application software related to various areas of importance. It has also undertaken
various projects related to capacity building and is also following Central
Government e-Governance action plan. Various initiatives taken under e-
governance to make Digital India Programme successful are as follows:
Department is implementing a Plan Scheme on ‘End-to-End Computerisation’ of
TPDS Operations on cost sharing basis with States/UTs. Costs are being shared on
90:10 basis with North Eastern States and on 50:50 basis with other states/UTs.The scheme is a Mission Mode Project (MMP) under the National e-Governance
Programme. The progress of implementation of Component-I of the scheme is asfollows:
a)
Digitization of FPS database and godowns database has been completed by
all States/UTs. Digitization of ration cards/beneficiary data base has also been
completed in 34 States/ UTs and is in progress in the remaining 2 States/UTs.
b) Online allocation of foodgrains has been implemented fully in 19 states/UTs.
Supply chain has been computerized in 10 States/UTs.
c)
Toll free helpline for TPDS and Online grievance redressal mechanism forregistration and tracking of grievance is now available in all 36 Sates/UTs.
d) The Department in consultation with NIC, Deity and UIDAI, has prepared
and circulated Guidelines for Fair Price Shops (FPS) Automation and the
same were shared with States/UTs in November, 2014 and updated in May,
2015. Consultations were held with States/UTs, UIDAI and NIC etc. to
discuss various aspects of FPS automation rollout in November, 2015.
Communication regarding providing of financial assistance to States/UTs for
FPS automation has been issued.
e)
The ‘Cash Transfer of Food Subsidy Rules, 2015’ was notified on21.08.2015, under the National Food Security Act, 2013. The Rules stipulatethat the DBT Scheme shall be implemented in identified areas for which there
is a written consent of the State Governments for implementation of the
scheme. Section (5) of the Rules stipulate that the amount of food subsidy
payable to beneficiaries shall be computed by multiplying entitled quantity of
food grains with difference between 1.25 times applicable Minimum SupportPrice (MSP) and the Central Issue Price (CIP) or as may be revised from time
to time by the Central Government. Direct Benefit Transfer (DBT) is being
implemented on pilot basis in UTs of Chandigarh and Puducherry w.e.f.
September, 2015.
-
8/16/2019 Compilation e Book
23/28
18
In order to provide transparency in the data management of sugar mills as well
as Government’s working, the Directorate of Sugar has developed a web based
platform (esugar.nic.in/sugar_pii) for online submission of inputs by sugar mills
on monthly basis. This has helped the Government to take prompt and informed
policy decisions for better management of the sugar sector. The portal also
provides windows for online connectivity with the State Governments for gettinginputs regarding production, stocks utilization of levy sugar for PDS, cane price
arrears of sugar mills on fortnightly basis etc.
Bio-metric attendance system has been installed in the Department to enforce
punctuality and manual attendance system has been discontinued. E-filing isoperational in Department under e-office initiatives which include opening
electronic files, movement and receipt of files, submission of files and draft etc.
Pay slips on monthly basis and income tax details of the officials of Departmenthave been made online. RTI request and Appeal Management Information
System (RTI-MIS) web based software developed by NIC is installed in the
central server to track the RTI requests and appeals. Public Grievance portal is
available on official website of the Department.
Food Corporation of India (FCI) is one of the first Government organizations to
start the “MyGov” platform involving citizens in the governance process. De pot
online project has been approved so as to manage overall operations of FCI on
the depot level which would include procurement, storage and movement offoodgrains. FCI has also implemented e-tendering. It has implemented Integrated
Information System for Foodgrains Management (IISFM) under whichinformation with regard to receipt and issue of foodgrains and stock position is
received daily from all the depots. An online procurement monitoring system has
been launched for reporting and monitoring procurement of wheat, paddy and
coarse grain in the country on daily basis.
Central Warehousing Corporation (CWC) plan for computerization aims to
improve services to farmers, customers, vendors, employees, and other stakeholders. CWC is exploring implementation of Integrated Business ManagementSolution (IBMS) project. This project envisages linking all the operations units
of the Organization to facilitate faster decision both at the Corporate Office and
Regional Officer level. After signing of contract IBMS, the implementation may
be completed in 2 Phases- 12 months and 6 months respectively.
Warehousing Development Regulatory Authority (WDRA) has undertaken a
transformation plan which envisages involvement of digital system for its major
activities. It has been proposed to put in place a system of electronically Negotiable Warehouse Receipt (NWR) in electronic form only; plan includes
online application and registration of warehouse. This proposal is under process
-
8/16/2019 Compilation e Book
24/28
-
8/16/2019 Compilation e Book
25/28
20
Chapter-6
SWACHH BHARAT MISSION
The Prime Minister of India had given a call for “Swachh Bharat” as a mass
movement to realize Gandhiji’s dream of a clean India by the 150 th birthanniversary of Mahatma Gandhi in 2019.
Weeding out of old records as well as cleanliness drives was carried out regularly,
so that healthy, hygiene and clean environment may be created. Total 432 files have
been weeded out and 540 files have been recorded for further retention during the
special drives carried out. Disposal of old/obsolete/mutilated books of Department
Library has been done and action has also been initiated for disposal of old/obsolete
furniture and other items. Steps have been taken for special cleaning and
modernization of record room of this Department.
Deep cleaning of the rooms in the Department of Food & Public Distribution is also
being done in phased manner in every month. In order to keep the working
atmosphere neat and clean, white- washing, pest control and rodent control of the
corridor and rooms are being done at regular intervals. The services of CentralWarehousing Corporation (CWC), who have expertise in pest/rodent control are
being utilized.
This Department has initiated process for modernization of 12 rooms which are in bad condition, with the help of Department of Administrative Reforms and Public
Grievances (D/o AR&PG). The proposal has been submitted to D/o AR&PG. If the
proposal is approved it will be a significant achievement towards cleanliness.
Cleanliness of all fixtures and fitting is being looked after regularly. Rooms and
toilets under the charge of the Department in Krishi Bhawan, are inspected
regularly and found to well maintained. As the cleanliness is regular process,
Department is taking appropriate action for the purpose from time to time. Special
drives/campaign have also been carried out in the Department as and whenconveyed by the Ministry of Drinking Water and Sanitation and by the CabinetSecretary. Special drive was held from 25.09.2014 to 31.10.2014, 22.06.2015 to
26.06.2015 and 25.09.2015 to 31.10.2015 for cleanliness under “Swachh Bharat
Mission”.
Floor Officers have been nominated on each floor of the Department for proper
supervision of cleanliness. Further a Committee for monitoring the progress of
sanitation & cleanliness in the Department of Food and Public Distribution has also
been constituted under the Chairmanship of Joint Secretary (Admn.).
-
8/16/2019 Compilation e Book
26/28
21
Department has organized Drawing-cum-painting competitions for the wards of
employees of Department of Food & Public Distribution and poetry and essay
competition on the subject cleanliness during the special cleanliness drive from time
to time. With the help of Red Cross, this Department, organized a blood donation
camp on 05.10.2015 in the Krishi Bhawan during the special campaign from
25.09.2015 to 31.10.2015.
A circular in the Department of Food and Public Distribution was issued for seeking
the suggestions on cleanliness. Some suggestions have been received and
Department will take action on the suggestions.
A running trophy will be instituted in the DFPD to be awarded to the best Division
on the basis of quarterly evaluation. Evaluation criteria would include maintenance
of files, upkeep, presentation, use of e-files etc.
CWC has started using logo of Swachh Bharat Mission and its tagline on all
stationery items, annual reports, magazines. Thorough cleaning of offices through
cleanliness drive once in three months has been started. Floor wise nodal officer in
CO/RO building of CWC has been nominated to ensure cleanliness floor wise.CWC has made a budget provision of Rs. 100 lakh towards Swachh Bharat Mission
for the year 2015-16. Rs. 1 crore is being deposited in Swachh Bharat Kosh during
-
8/16/2019 Compilation e Book
27/28
22
2015-16. 55 Rain Water Harvesting structure are being constructed in various
places. Proposal to construct toilets in schools is also under consideration of CWC.
CRWC arranged in house lecture on significance of “Hygiene and Cleanliness in
day to day life”. Employees of CRWC voluntarily carried out cleaning activities at
nearby surroundings of the corporate office and other field units and made awareother personnel also about the significance of cleanliness at their home, office
premises and nearby surroundings. A special drive was also launched for weeding
out of all old record and ensuring cleanliness in all sections of CRWC, Corporate
office/RWCs. “Swachh Bharat Swasth Bharat” headline has been scrolling on the
CRWC website.
CRWC has undertaken an Integrated Village Project in the backward district of
Rajasthan’s Sawai Madhopur Village Laxmipura for renovation of toilets in school,
construction of new toilets and two sanitation awareness campaigns amongindividuals. It has also been decided to undertake a project in a MCD school at
Mangolpuri, Delhi for construction of child friendly toilet blocks with running
water and hand washing facilities, up-gradation of drinking water facilities with
provision of filters and garden in the school near the RWC, Shakurbasti of CRWC.Construction of 10 toilets in various schools of Uttarkashi (Uttrakhand) and
Gurgaon-NCR (Haryana) is ongoing for providing sanitation and hygiene facilities
in these schools. Rs. 10 lakh and 5 lakh are also being contributed towards ‘Swachh
Bharat Kosh’ and ‘Clean Ganga Fund’ respectively.
FCI would continue to maintain the facilities created and upgrade them. All the
existing lavatory blocks are being maintained properly. It is targeted to provide 150no. of Female Lavatory block in FCI own depot in 2015-16. Female Lavatory block
are being provided with latest technology i.e. Bio-digester. Bio-toilet technology
has been developed by DRDO. It is also targeted to provide safe drinking water
facility in 75 FCI depots and to construct 150 Labour sheds in existing FCI depots
during 2015-16.
-
8/16/2019 Compilation e Book
28/28
Government of India
Ministry of Consumer Affairs, Food & Public DistributionDepartment of Food & Public Distribution
Krishi Bhawan, New Delhi – 110001
EPABX: 23383911 FAX: 23782213, Website: http://dfpd.nic.in
Web based platform for Sugar: esugar.nic.in/sugar_pii
http://dfpd.nic.in/http://dfpd.nic.in/http://dfpd.nic.in/http://dfpd.nic.in/