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  • 1. As Grains pile up, India Starves….. Team: The Innovative Madras Christian College, Chennai
  • 2. What is Public Distribution System? Govt. of India has implemented a number of “POVERTY ALLEVIATION PROGRAMMES” in which one of the programs is Public Distribution System (PDS) procures and maintains the Food Corporation of India. Provides food items and non food items through a network of ‘fair price shops’ to the vulnerable sections of the society at reasonable (subsidised) prices. Major problem faced by the FCI
  • 3. What is Public Distribution System? • The Targeted Public Distribution System (TPDS) was introduced with effect from June 1997. • Under the targeted public distribution system, there are three kinds of ration cards: Antyodaya cards (for the poorest of the poor), BPL cards (for those below poverty line) and APL cards (for all others). Rice Wheat Rural Urban Rural Urban 2004-2005 35,928,158 8,008,817 16,197,120 3,545,888 2009-2010 63,321,151 15,129,050 44,697,283 12,988,843 Number of Households depended on PDS Rise in Consumption Levels observed keeping the population growth in mind.
  • 4. How it works? Products are distributed from the warehouses according to quota of various FPS/ Ration Shops. Step 4 Distribution Products are stored in various FCI Warehouses across the nation Step 3 Storage Products collected by the FCI is subsidised & allocates the quantity to States. Step 2 Collection Farmers sell their products either to FCI or to private people Step 1 Farmers
  • 5. Leakages  Loss in quality, quantity& distribution.  Increased sale of subsidized food products to Black markets.  Lack of sales from APL card holders causing Large quantities of subsidized goods to perish  Losses during storage caused due to unscientific warehouse storage system practiced by food cooperation of India  Incorrect identification of BPL families  Bogus ration cards  Lack of transparency and accountability  Malpractices in Ration Shop
  • 6. Public Distribution in Media..!!!
  • 7. What the common man has to say!
  • 8. Preventing leakage: Public level  Public Body rating Efficiency : Public body formed by the government to rate the efficiency of PDS.  Increased participation in PDS : Encouraging the public to use PDS effectively by improving the quality of the products.  Helping FDA & TACFI*: People must actively participate in helping the FDA & TACFI to minimise malpractices & corruption within the system.  Regular usage of Ration Card: Active usage of Ration Card especially by APL card holders to make use of the facilities provided by the government. FDA- Food and Drug Administration TACFI – The Anti-Corruption Federation of India
  • 9. Preventing leakages: Government level • Modernising PDS: This include several steps including Smart Card, Computerised processing, Non use of Smart Card leaves it Invalid etc. to avoid leakages. • Shift in Distribution: A action has to be taken to limit Ration Shops in regions having High Income Class people who doesn’t use these services & thus will help in increasing number of shops in the regions were it is required. • Transparency: The entire process of FCI must be transparent & available to the public . • Distribution of Food Stamps: This will reduce the India's dependence on buffer stock for price stabilization and in turn reduce cost. • Checking sale to black market : The above mentioned steps will help in checking sale of subsidised goods to black market.
  • 10. Modernising Public Distribution System • Use of Smart Card: Helps in making the system Foolproof & thus minimising the leakages as in Chandigarh UT and State of Haryana. • Digitalizing the entire process: Digitalizing the entire process as in the state of Chhattisgarh, Assam & Delhi. • Use of Biometric Ration Register Machines which checks leakage. • Computerised quality checking till the distribution: Computerised quality checking will help in accumulation of quality food products. • Improved packing system: Help in preserving the products for longer time & limit the use of loose products limiting malpractices.
  • 11. Modernising Public Distribution System • First In First Out (FIFO) could be practiced in the case of food grains to avoid wastage. • GPS enabled Tracking System for transportation for enhanced monitoring of the Goods Transferring process & limiting the chances of unlawful unloading. • Information about availability of food grains to be disseminated through SMS / Internet to enable social audit. • Mobile Fair Price Shops providing Food & essentials at street level thus reducing the need for Store Houses & convenient for working class people. Mobile Triveni Supermarket, Kerala
  • 12. References • PDS - Department of Food and Public Distribution, http://dfpd.nic.in/ • Public Distribution System (PDS), in 10th Plan at Planning Commission • Public Distribution System: Introduction at Right to Food Campaign • Public Distribution System, IIM, Ahmedabad by Arnab Saha • 5.17 The Public Distribution System, Budget of India, 2000 • Newspaper reports from New York Times, Times of India, Hindustan Times, The Hindu