The government admitted to the empowered group of ministers (EGoM) on food and prices that 61,000 tonnes of foodgrain had rotted in its granaries as it was kept with poor protection for too long. The EGoM headed by finance minister Pranab Mukherjee was ascertaining the status of overflowing stocks in Food Corporation of India godowns. Sources said Haryana and Punjab were unable to protect or sell the 15.5 million tonnes...

Indian Railways has come to Food Corporation of India’s (FCI) rescue in flood-hit Punjab and Haryana, where part of its foodgrain stocks have been rotting due to heavy rains. The national transporter has given a discount of 35% to the public sector food procurer to carry grains from northern India to other parts of the country. The railways also expects to boost its own revenue by transporting a large volume of...

The public distribution system (PDS) has failed to deliver on its objectives in many parts of the country. It would then seem appropriate to dismantle the system immediately and replace it with food coupons or cash transfers to the eligible households. But evidence on ground illustrate that PDS has functioned well for years in southern states such as Andhra Pradesh, Kerala and Tamil Nadu, with majority of the households purchasing...

Centre to notify revised poverty estimates to States soon The Union government will soon notify the revised poverty estimates on the basis of which States can undertake proper identification of beneficiaries under the public distribution system (PDS). This will include a massive exercise to include eligible beneficiaries and weed out the ineligible ones through use of biometric technology, which will replace the manual system of identification. Planning Commission Deputy Chairman Montek Singh...

The two-day Centre-state meet on revamping the public distribution system (PDS), with an eye to the likely enactment of the National Food Security Law, has harped on the same measures that have been talked about for long. These include the computerisation of PDS operations, timely delivery of stocks to PDS outlets, and proper identification of the beneficiaries, especially those entitled to the below-poverty-line (BPL) cards, based on the latest poverty...