In the season of draft Bills, the Sonia Gandhi-led National Advisory Council has come out with its draft of the National Food Security Act, 2011, that gives legal backing to the highly leaky PDS system, thereby excluding innovative options like cash transfers, which may have included variants like food stamps and UID-linked smart cards. Despite the PM’s panel objecting to universal legal entitlement, the draft says that “not less than 90%...
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Cash Transfers as the Silver Bullet for Poverty Reduction: A Sceptical Note by Jayati Ghosh
The current perception that cash transfers can replace public provision of basic goods and services and become a catch-all solution for poverty reduction is false. Where cash transfers have helped to reduce poverty, they have added to public provision, not replaced it. For crucial items like food, direct provision protects poor consumers from rising prices and is part of a broader strategy to ensure domestic supply. Problems like targeting errors...
More »Govt may accept NAC’s views on right to food
-PTI The government is likely to give a legal right to food to both priority and general categories of the population under the proposed National Food Security Act, as suggested by the Sonia Gandhi-led National Advisory Council (NAC). There were differences between the NAC and the Rangarajan Committee on giving a legal right to food to general category, or above poverty line (APL) families. While the NAC had suggested giving a legal...
More »NGOs question Delhi move to givecash subsidies in place of foodgrains
-The Hindu “Surveys leading to move are misleading, towing a pre-planned agenda” Opposing the Delhi Government's move to extend a pilot project in the Capital for providing cash subsidies in place of subsidised foodgrains for the needy, a group of non-government organisations led by social activist Arvind Kejriwal has said the decision is “questionable” and that the surveys conducted ahead of the project's implementation were “misleading”. One of these surveys conducted by...
More »'Rs 1,000 instead of grain terrible idea'
-The Hindustan Times A number of NGOs have opposed the Delhi government's proposal of giving Rs 1,000 cash per family per month instead of subsidised foodgrains under the Public Distribution System (PDS). A pilot project for approximately 100 families is being run in Raghubir Nagar in west Delhi wherein instead of the subsidised grain, the government is doling out Rs 1,000 in cash. NGOs working with poor people, however, are aghast...
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