SINCE THE RELEASE OF THE ECONOMIC Survey, 2010, in February, much has been discussed — but far less debated — on the issue of substituting India’s public distribution system (PDS) with a food coupon-based targeted subsidy programme to benefit the below-poverty-line (BPL) families. As a leading proponent of this programme, the economic adviser to the finance ministry, Kaushik Basu, has gone on record advocating the use of food coupons declaring...
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Costly APL grain to rein in subsidy? by Mahendra K Singh & Nitin Sethi
Even as the government tries to meet the expectations of the Congress high command on the Food Security Bill, it is still trying tricks in the economist's books to keep its Food Subsidy bill as low as possible. While the Planning Commission has now accepted that it would include community kitchens and existing nutrition security schemes such as ICDS and mid-day meal programmes under the proposed Bill, it is also...
More »Grain price for APL may be raised by Mahendra Kumar Singh & Nitin Sethi
Increasing the prices at which people living above the poverty line are offered monthly foodgrains under the proposed Food Security Act could now offset the cost of increased Food Subsidy for the poor. The Planning Commission is going to suggest that the government offer only 25 kgs of foodgrains to those living above the poverty line (APL) at the same price as it costs the government to buy up the...
More »EGoM on food security Bill to meet on May 4, decide on poverty estimates by Saubhadro Chatterji & Devika Banerji
The Empowered Group of Ministers (EGoM) on the Food Security Bill has decided to meet once again before releasing the much-awaited bill for public feedback. According to a highly placed official in the food ministry, the EGoM is yet to synchronise issues like the poverty estimate with the states, apart from taking a final call on the inclusion of the Above Poverty Line (APL) population in the proposed legislation. The meeting...
More »Monsoon to dispel clouds over sugar, grain
A good monsoon forecast strengthens prospects for India to cut sugar imports, free up grain exports and buy more gold as rains boost supplies in the world’s leading consumer of most farm commodities. Annual monsoon rains from June to September are key to firing up growth and farm output and limiting inflation in India, which ranks among the world’s top producers and consumers of sugar, wheat, rice and edible oils and...
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