The World Bank and a pliant UPA Government plan to do away with India's public distribution system and shut down four lakh ration shops. The excuse-the Public Distribution System (PDS) spends Rs 45,000 crore every year to supply BPL families wheat, rice, kerosene and sugar of which 60 per cent of grain is looted by the food mafia. The 412page 'World Bank Report: Social Protection for Changing India', released on...

To ensure transparency in delivery of commodities to the poor in Rajasthan The Rajasthan Government has decided to conduct the much sought-after social audit for fair price shops functioning under the public distribution system (PDS) to ensure transparency and effectiveness in the delivery of essential commodities to poor people. The move follows the success of similar exercise for the Mahatma Gandhi National Rural Employment Guarantee Act. The social audit is being introduced...

-The Economic Times   Dear Smt Gandhi, We, a group of academic economists, are writing to you about the proposed National Food Security (NFS) Act legislation that is of profound importance to India's economy. We believe that it is appropriate that India pursues the goal of genuine food security for all through a law that guarantees a minimum transfer to every adult except a small subset of the most affluent who...

-The Indian Express   Indian government uses public funds to alleviate, prevent and end poverty; but, unarguably, does so inefficiently. A new report from the World Bank for the Planning Commission on India’s “social protection” programmes outlines the scope of the failure and provides a few answers. Those programmes can be divided into three kinds, the report argues: those that prevent a slide into poverty, like social security and insurance schemes; those...

The World Bank has backed a controversial proposal to replace foodgrain allotment under the public distribution system with a system of direct cash transfer. The bank, which supports social security schemes in India, today said poverty reduction had been low and overall returns on spending to eradicate poverty had “not reached their full potential”. It attributed the low reduction to “high leakage” in the PDS system and its weak implementation mechanism. Earlier,...