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LATEST NEWS UPDATES | Bill provides for cost sharing with States by Gargi Parsai

Bill provides for cost sharing with States by Gargi Parsai

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published Published on Dec 19, 2011   modified Modified on Dec 19, 2011

The controversial targeted National Food Security Bill, which got the nod of the Union Cabinet on Sunday, is a pet project of United Progressive Alliance chairperson Sonia Gandhi. However, the recommendation made for near-universalisation by the National Advisory Council chaired by Ms. Gandhi, was set aside by the government.

To be piloted by Minister of State (Independent) for Food and Public Distribution K.V. Thomas, the Bill will be introduced in the ongoing session of Parliament.

Right to Food Campaign activists, who braved the cold to make a last-ditch effort to press their demand for universalisation of PDS, courted arrest for violating prohibition orders around the Prime Minister's residence.

Emerging from the Cabinet meeting, Union Agriculture Minister Sharad Pawar said, “This is a big challenge. The country will have to take the responsibility of producing huge quantities of foodgrains.''

The entitlements would cost the government about Rs. 94,973 crore per annum, as against the existing food subsidy bill estimated at Rs. 67,310 crore. The foodgrains required to be procured to meet the obligations under the Bill is estimated at about 65 million tonnes, up from the average 50 to 55 million tonnes at present.

The Bill provides for cost sharing between the central and the State governments to be decided by the Centre.

The issue of availability of foodgrains and subsidy was, however, trashed by social activists, who said that the government should not grudge the money involved as food entitlement as a right.

Significantly the entitlement of ‘general' (earlier Above Poverty Line) category shall be linked to “such reforms in the public distribution system and from such dates as may be prescribed by the central government.''

Every person belonging to ‘priority' household shall be entitled to receive seven kilogram of foodgrains per month and every ‘general' category person shall be entitled to not less than three kilograms of grains. The Bill provides for supply of wheat at Rs. 2 per kilogram, rice at Rs. 3 per kg and coarse cereals at Re. 1 per kg to ‘priority' households. For ‘general' families the cost would “not exceed 50 per cent of the minimum support price for wheat and coarse grains and not exceed 50 per cent of derived MSP.

Importantly, the Bill provides for “food security allowance” from state governments to such beneficiaries who do not receive the entitled quantities of foodgrains or meals.

The ‘priority' and ‘general' beneficiaries and the exclusion criteria shall be prescribed by the Central government. Already identification of rural beneficiaries is being done under a Socio-Economic Caste Census. A similar exercise shall be undertaken for urban beneficiaries.

Affordable meals

The Bill provides for meals at “free or affordable prices'' to destitute, homeless persons, disaster-affected people and persons living in starvation. It also covers maternity benefits of Rs. 1000 per month for six months to pregnant and lactating women. The state governments shall identify through anganwadis and provide free meals to children who suffer from malnutrition.

Focussing on reforms in the PDS, the Bill has given primacy to introduction of cash transfers and food coupons to the targeted beneficiaries in lieu of their foodgrains entitlements as well as leveraging ‘aadhar' for “proper targeting of beneficiaries under the Act.''

There will be an internal grievance redress mechanism from block and district levels.

The Centre shall set up a National Food Commission and every State government shall constitute a State Food Commission for monitoring and reviewing the implementation of the Act.

The Bill provides for women above 18 years to be considered the head of the beneficiary household for purpose of issue of ration cards. There shall be social audit of the functioning of ration shops.

Outlay

To meet the requirements under the Bill, the Ministry of Agriculture has projected an outlay of about Rs. 1,10,000 crore in the farm sector for an incremental production of 20 to 25 million tonnes. The Ministry of Women and Child Development also has projected an annual financial implication of Rs. 35,000 crore for strengthening and restructuring the Integrated Child Development Scheme.

Provides for food security allowance

Internal grievance redress mechanism from block and district levels

The Hindu, 19 December, 2011, http://www.thehindu.com/todays-paper/tp-national/article2727407.ece


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