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    1

    PRESENTATION ON

    SCHEMES OF THE

    DEPARTMENT OF FOOD AND

    PUBLIC DISTRIBUTION

    *****

    Department of Food & Public Distribution

    Government of India

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    ABOUT THE DEPARTMENT OF FOOD &

    PUBLIC DISTRIBUTIONDepartment of Food & Public Distribution is part of Ministry of

    Consumer Affairs, Food & Public Distribution

    Its main functions include

    formulation and implementation of nation policies on

    procurement, movement, storage and distribution of foodgrains

    Implementation of Public Distribution System

    Formulation of national policies relating to export/import,buffer stocking, quality control and specifications offoodgrains

    Price control, Inter-State trade & commerce in and supplly& distribution of Vanaspati, Oilseeds, vegetable oils, cakesand fats

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    The Presidents Address to the joint sessionThe Presidents Address to the joint session

    of Parliament on 4of Parliament on 4thth June 2009June 2009

    The National Food Security Act-

    -will provide a statutory basis for a framework which assures

    food security for all;

    -Every below poverty line family in rural and urban areas to be

    entitled to 25 kg of wheat or rice per month @ Rs.3 per kg;

    -will also bring about systemic reforms in public distribution

    system.

    -Targeted identification cards would subsume and replace

    omnibus BPL list.

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    Consultations with States/UTs, CentralConsultations with States/UTs, Central

    Ministries, Planning Commission etcMinistries, Planning Commission etc

    Concept Note on NFSA circulated on 05.06.2009

    responses invited

    Consultation meetings held on-

    10.06.2009- State Food Secretaries

    11.06.2009- Central Ministries, Planning Commission

    12.06.2009- Experts and Economists

    01.07.2009- Central Ministries, Planning Commission

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    FinalisationFinalisation of draft NFSAof draft NFSA

    Empowered Group of Ministers (EGoM) constituted on

    14.07.2009

    EGoM has held several meetings to discuss the NFSAwith a view to finalising the guidelines for framing the

    proposed law.

    NAC is considering issues relating to coverage,

    entitlement, etc.

    Once finalised, the proposed NFS Bill will be placed on

    website of Department of Food and Public Distribution

    for public scrutiny and comments.

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    HISTORICAL PERSPECTIVE ON PDS

    PDS EVOLVED AS A SYSTEM OF MANAGEMENT OF SCARCITY AND FORDISTRIBUTION OF FOODGRAINS AT AFFORDABLE PRICES

    PRIOR TO 1992 - PDS WAS A GENERAL ENTITLEMENT SCHEME FOR ALLCONSUMERS WITHOUT ANY SPECIFIC TARGET

    IN JUNE, 1992 REVAMPED PDS LAUNCHED IN 1775 BLOCKS FOCUS ON HILLY,REMOTE, INACCESSIBLE BACKWARD AREAS, SCALE OF ISSUES 20 Kg. PER CARD

    TARGETED PDS INTRODUCED IN JUNE, 1997 FOCUS ON BPL FAMILIES

    AAY INTRODUCED IN DEC,2000 THE POOREST OF THE POOR FAMILIES INITIALLYFOR ESTIMATED 1 CRORE FAMILIES, LATER EXPANDED TO COVER 2.50 CROREFAMILIES

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    TPDS - JOINT RESPONSIBILITY OPERATION

    GOI (CENTRAL POOL OF FOODGRAINS)

    PROCUREMENT and STORAGE

    MAINTENANCE OF MINIMUM BUFFER STOCKS

    TRANSPORATION UPTO PRINCIPAL DISTRIBUTION CENTRES OF FCIAND BULK DELIVERY TO STATES & UNION TERRITORIES

    ALLOCATIONS TO STATES & UTS

    STATES & UT GOVERNMENTS STORAGE IN STATE/UT GODOWNS

    TRANSPORTATION TO FAIR PRICE SHOPS

    DISTRIBUTING TO RATION CARD HOLDERS THROUGH FPS

    LICENSING OF AND SUPERVISION OVER FAIR PRICE SHOPS

    IDENTIFICATION OF AAY & BPL FAMILIES

    ISSUANCE OF RATION CARDS TO ELIGIBLE FAMILIES

    ELIMINATING LEAKAGES/ GHOST CARDS ETC

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    Coverage: 6.52 crore BPL families including 2.43crore Antyodaya Anna Yojana (AAY) families

    11.52 crore APLfamilies

    Foodgrains required: 470 lakh tons annually at

    present scale of issue (@35kg/family to BPL and15kg/family to APL per month)

    No. of ration cards issued by States/UTs:11.05 crore

    BPLand 13.23 crore APL ration cards

    No. of Fair Price Shops: 5.04 lakh (including1.18

    lakh run bySHGs /Cooperatives/Panchayats/Urban

    LocalBodies)

    TargetedPublic DistributionSystem(TPDS)TargetedPublic DistributionSystem(TPDS)

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    Category Scale CIP

    AAY 35/-Kgs.Rs.2/-Kg. Wheat

    Rs.3/-Kg. Rice

    BPL 35/-Kgs.Rs.4.15/-Kg. Wheat

    Rs.5.65/-Kg. Rice

    APL 15-35/-Kgs.Rs.6.10/-Kg.WheatRs.8.30/- Kg.Rice

    Targeted Public Distribution SystemTargeted Public Distribution System

    Scale of Issue and CIP of foodgrainsScale of Issue and CIP of foodgrains

    9

    Scale of issue (kg per family per month)- BPL FAMILIES -June 1997-10

    kg, April 2000-20 kg, July 2001-25 kg and April 2002-35 kg.

    For AAY FAMILIES -December 2000-25 kg, April 2002-35 kg.

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    States Scale Category

    J&K,HillStates,N.E.States,Islands

    Territories

    700gms.per capita AllBPL&APL

    Other States 500gms.per capita BPL

    SugarSugar

    Scale & Coverage

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    Categories Rice Wheat Total

    AAY 67.16 34.8 101.96

    BPL 113.89 60.92 174.81

    APL (@16.2kg.average) 76.16 147.84 224.00

    Sub-Total of TPDS # 257.21 243.56 500.77

    Other Welfare Schemes * 35.00 15.00 50.00

    Flood, Drought, Disasters 18.00 24.00 42.00Open Market Sales 20.00 30.00 50.00

    Grand Total 330.21 312.56 642.77

    Annual Requirement ofAnnual Requirement of foodgrainsfoodgrains forforPDS and Other SchemesPDS and Other Schemes

    * At present levels of allocations. May increase with universalization

    (in lakh tonnes)

    # At present scale of issue

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    Procurement of Foodgrains

    Year Rice Wheat Coarse grains Total Procurement

    1999-00 182.28 163.55 0.00 345.83

    2000-01 212.81 206.30 6.51 425.62

    2001-02 221.28 190.54 3.14 414.962002-03 164.22 158.01 0.60 322.83

    2003-04 228.28 167.95 6.51 402.74

    2004-05 246.85 147.87 8.26 402.98

    2005-06 276.56 92.26 11.51 380.33

    2006-07 251.07 111.28 0.00 362.35

    2007-08 287.36 226.89 2.03 516.28

    2008-09 336.85 253.82 13.76 604.43

    2009-10* 311.26 225.25 4.07 540.58

    Average 247.17 176.70 5.13 428.99

    (in(inlakhlakh tons)tons)

    *As on 21st Sept. 2010

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    ALLOCATION AND OFFTAKE UNDER TPDS

    from 2004-05 to 2010-11

    (lakh tons)

    YEAR ALLOCATION

    (RICE & WHEAT)

    OFFTAKE

    (RICE & WHEAT)

    % OFFTAKE

    (RICE & WHEAT)

    (BPL+AAY) APL TOTAL (BPL+AAY) APL TOTAL (BPL+AAY) APL TOTAL

    2004-05 273.30 443.68 717.00 229.20 64.32 293.55 83.90 14.50 40.90

    2005-06 272.70 443.53 716.22 230.85 80.20 311.05 84.70 18.10 43.40

    2006-07 273.70 302.83 576.56 229.01 84.68 313.69 83.70 28.00 54.40

    2007-08 274.60 118.16 392.78 245.68 87.22 332.90 89.50 73.80 84.80

    2008-09 276.01 111.75 387.76 251.80 94.20 346.01 91.20 84.30 89.20

    2009-10 276.09 199.94 476.03 263.40 160.63 424.03 95.40 80.3 89.10

    2010-11

    (upto

    July)

    92.25 59.00 151.25 90.14 51.40 141.54 97.7 87.1 93.6

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    OTHER WELFARE SCHEMES

    Foodgrains allocatedto GoI Ministries andStates &UTs atBPLissue prices,

    andfree ofcostunder village grain bank scheme.

    HRD Ministry Mid Day Meal Scheme

    WCD Ministry Wheat Based Nutrition Programme

    Nutrition Programme for Adolescent Girls

    RD Ministry Annapoorna Scheme

    DFPD Scheme for Welfare institutions

    Scheme for SC, ST OBC Hostels

    Emergency Feeding Programme in KBK districts of

    Orissa

    Village Grain Banks scheme (VGB)

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    ALLOCATION OF FOODGRAINS UNDER OTHER

    WELFARE SCHEMES

    RICE & WHEAT(LAKH TONS)

    2004-05 141.48

    2005-06 94.93

    2006-07 56.93

    2007-08 45.45

    2008-09 41.41

    2009-10 42.112010-11

    (upto October 2010)

    47.49

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    Some challenges in TPDSSome challenges in TPDS Diversion/leakages

    Bogus / ineligible ration cards

    Lack of greater community participation inmonitoring

    Allotment of FPS dealerships

    Viability of Fair Price Shops Weak Grievance Redressal mechanism

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    i) States should undertake a campaign to review BPL/AAY listto eliminate ghost/ ineligible ration cards.

    ii) Strict action should be taken against the guilty to ensureleakage free distribution of foodgrains.

    iii) For sake of transparency, involvement of elected PRImembers in distribution of foodgrains be ensured.

    iv) BPL/AAY lists should be displayed at all FPSs.

    v) District-wise and FPS-wise allocation of foodgrains should beput on websites and other prominent places, for publicscrutiny.

    Nine Point Action Plan to Strengthen TPDSNine Point Action Plan to Strengthen TPDS

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    vi) Wherever possible, doorstep delivery of foodgrainsshould be ensured by States, instead of lettingprivate transporters/wholesalers to transport goods.

    vii) Timely availability of foodgrains at FPS level and

    fixed dates of distribution to ration card holdersshould be ensured.

    viii) Training of members of FPS level VigilanceCommittees should be ensured.

    ix) Computerisation of TPDS operations should beundertaken.

    Nine Point Action Plan to Strengthen TPDSNine Point Action Plan to Strengthen TPDS

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    Computerization of TPDS operations FCI to Block level Godowns. Pilot in 3 Districts each of Andhra

    Pradesh, Assam, Chattisgarh & Delhi

    Computerization of ration card related database 10 states have reported taking up data digitization

    Smart Card based delivery to Ration Card holders Pilot Project in Haryana & Chandigarh

    GPS based tracking Vehicles transporting TPDScommodities Tamilnadu, Delhi and Chattisgarh

    Technology based applications for improvingTechnology based applications for improving

    functioning ofTPDSfunctioning ofTPDS

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    Sl. No. Problem Areas Proposed Solutions

    Consumer Issues

    1 Duplicate andBogus Cards Digitization ofbeneficiarydetails,Biometrics

    withDe-duplication(UID compliant)

    2 Delivery from FPS Smart card, Secured coupons based

    distribution

    3 Grievance Redressal Call Center /Helpline with computer based

    monitoringinpublic domain

    4 Accountability Performance indexat eachlevel,monitoringthrough online data

    5 Transparency SMS basedalerts,SMSandEmail based

    queries,Web based InformationSystemin

    Public domain

    Technology in PDS Reform

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    Some BestPractices Reported byStates

    ANDHRA PRADESH

    Issuance of ration cards under Iris Biometric Technology to all

    the existing cardholders along with bar coded coupons.

    CHHATISGARH

    Improving economic viability of FPS - State Government

    provided Rs. 42 crores as seed capital to Gram Panchayats and

    SHGs for running FPS.

    One month credit facility to FPS.

    Transparency in distribution - During Rice Utsav, PDS commodities

    are distributed in the presence of vigilance committee members and

    Nodal officer appointed by Collector.

    DELHI

    Public Audit System - through the bonafide cardholders to see

    records whether they have received entitled foodgrains at prescribed

    rates.

    21

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    Some BestPractices Reported byStates-contd.

    GUJARAT FPS Model Center, the State Government has allowed

    the Model FPS to sell the daily use items to increase

    viability of FPSs.

    KERALA:

    Sabari Stores: For viability of Fair Price Shops (FPS),

    the Kerala State Civil Supplies Corporation purchase

    and supply the items on short-term credit basis. Thescheme has been implemented in all the district of the

    State and the FPSs selected were named as Sabari

    Stores.

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    Some Best Practices Reported by States- contd.

    MADHYA PRADESH

    Credit support facility: On pilot basis, MP State Civil

    Supplies Corporation has arranged credit facility for

    two districts namely Rajgarh and Sagar to facilitate

    better off-take of foodgrains. All Fair Price Shops are operated by Co-operative

    institutions with compulsory participation of ration

    card holders to ensure accountability.

    Door-Step-Delivery SystemTAMILNADU

    Use of GPS technology to tract vehicles transporting

    PDS commodities.

    23

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    States reportedImplementation

    1 Review ofBPL/AAYlists to eliminate ghost cards 31

    2 Actionagainstguiltyto curb leakages 33

    3 Involvement ofPRIs inDistribution offoodgrains 27

    4 Display ofBPL/AAYlistinFPS 30

    5 District&FPS wise allocation on website 20

    6 Doorstepdelivery offoodgrains 177 Timelyavailability offoodgrains 32

    8 Training ofFPSlevelvigilance committees 27

    9 Computerization ofTPDS operations 10

    Implementation of Measures to strengthenImplementation of Measures to strengthen

    Public Distribution SystemPublic Distribution System

    24

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    States reported

    Implementation

    10 Adoption ofCitizens Charter 26

    11 Deletion ofbogus/ineligible ration cards 25

    12 Monthly certification ondelivery offoodgrains 20

    13 No. ofFPSallottedto various groups 29

    14 Actionagainstdefaulters 26

    15 Wheatflour distribution 14

    16 Trainingprogramtakenup 24

    17 Public awareness campaigntakenup 19

    Implementation of Measures to strengthenImplementation of Measures to strengthen

    Public Distribution System (contd.)Public Distribution System (contd.)

    25

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    VILLAGE GRAIN BANK SCHEME

    Coverage

    Food scarce & drought prone areas,desert, tribal and hilly areas

    Objective To provide safeguard against starvation

    during lean season to marginalised and vulnerable

    families (BPL/AAY families) Scheme Details Foodgrain @ 1 Qtl/family for

    maxm. of 40 families on loan basis.

    Govt. grant Free foodgrain and Rs.12200 per VGB

    as cash grant for infrastructure costs.

    Eligible agencies NGOs, SHGs, LBs/VPs/GSs,

    Community organizations

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    VILLAGE GRAIN BANK SCHEME

    Implementing States

    Andhra Pradesh (6585) Manipur

    Assam (100) (67) Meghalaya (44) (40)

    Bihar (415) Nagaland (486) (300)

    Chattisgarh (1904) (1904) Orissa (500) (500)

    Gujarat (354) (226) Tripura (103) (39)

    Jharkhand (583) Uttar Pradesh (1281) (500)

    Kerala (387) Uttarakhand (55) (55)

    Madhya Pradesh (2784) (2644) West Bengal (820) (820)

    Maharashtra (1377) (1101) Total - 17 States (18692) (13085)

    27

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    VILLAGE GRAIN BANK SCHEME -

    Issues States interestinimplementationlacking Needfor Monitoringfunctioning ofVGBs by

    States VGBs to functionas lending banks effective

    recovery essentialfor successfulfunctioning

    Timelyfurnishing ofUtilisationCertificates toGOI

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    Publicity cumAwareness inTPDS

    Objective To create awareness amongTPDS

    beneficiaries on entitlements, rights,price,

    availability ofessentialitems, etc.

    Scheme Details for publicity throughaudio/visual/print media, bill boards, posters, etc.

    Govt. Grant 80% cash grant of Central Govt. 20%

    State Share Given in two installments

    Issues Lack of States interest, Timely UC

    29

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    PDSTraining

    GOIprovides grants-inaidfor

    conductingtrainingprogrammes for officialsofState CivilSupplies Departments

    Seminar/workshops for senior level officials ofStates/UTs andmembers ofvigilance

    committees under PDS Proposals are to be sent byStates/UTs to GOI

    for consideration

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    ThankYou....