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Resource centre on India's rural distress
 
 

NITI Aayog recommends curtailing coverage under food security law to save on subsidies: Report

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The think tank has reportedly suggested cutting down coverage in rural areas from 75% of population to 60% and from 50% to 40% in urban areas.

Government think tank NITI Aayog has recommended lowering the coverage of both rural and urban population under the National Food Security Act, 2013, to save up to Rs 47,229 crore annually, The Indian Express reported on Sunday.

The recommendation, which is part of a discussion paper, suggests reducing the coverage to 60% from the current 75% of the rural population, and to 40% from the current 50% of the urban population, according to the report. Overall, the National Food Security Act currently covers 67% of the country’s total population.

Under the Act, each Antyodaya Anna Yojana household, which refer to the poorest sections of the country, are entitled to 35 kg of food grains per month. This policy covers approximately 2.37 crore households or 9.01 crore persons, as on February 1, 2021. Besides, nearly 70.35 crore persons from priority households, or those who hold a ration card, are entitled to 5 kg of food grains per person per month.

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