The Food Security Act was UPA-2’s flagship programme. Jean Dreze, member of the National Advisory Council, has publicly criticised the government. He tells VAIBHAV VATS what’s gone wrong. Much like the Mahatma Gandhi National Rural Employment Guarantee Act in the first term of the United Progressive Alliance, the Food Security Act was its most ambitious social welfare programme. Since discussions on the Act in the National Advisory Council began, its provisions...
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Mixed signals from MSP
The new rabi grain pricing policy seems to have been influenced more by macro-concerns about food inflation management rather than any considerations relating to food production planning. The marginal increase in minimum support prices (MSPs) of most rabi crops, barring pulses, is understandable given the government’s focus on inflation reduction and the fact that this marginal increase comes on top of earlier hikes of a decent magnitude. Moreover, there are...
More »Food will never become cheaper as expenses rise by Nidhi Nath Srinivas
Never mind wishful thinking by the government and RBI. Food will never be cheaper than what it is today. Not this year. Or in future. The reason is simple. Growing food in India has become extremely expensive. Crops are pricier even before they reach the market and face the pulls and tugs of rising local demand and exports. The farmer’s single biggest cost now is labour. Farm labour wages have doubled...
More »Introduce competition in PDS: Basu
India needs to introduce competition in the public distribution system (PDS) for its ambitious food-for- all programme to work, according to country's chief economic advisor Kaushik Basu. In an exclusive interview with NDTV, Basu outlines that if the government tries to provide food security through the present system, it will need to procure 140 million tonne of foodgrain. “The agriculture ministry has given some estimates that 62 million is what you...
More »Food Security Sans PDS: Universalization Through Targeting? by Smita Gupta
The case of the Food Security Bill gets curiouser and curiouser. What started off as a fight between universalization and targeting has ended (or so it would seem) in a complete victory in the National Advisory Council, Government of India (NAC) for targeting through universalization (if such a thing was possible), with the honourable exception of Prof Jean Dreze, who has to be commended for his ‘note of disagreement’. On...
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