This document discusses proposals to improve the public distribution system (PDS) in India through better supply chain management and reducing leakage. It proposes a system where ration cards would be activated for two months at a time, and customers given barcoded coupons matching their allotted amount. Fair price shop owners would redeem collected coupons, allowing allocation amounts to match actual offtake. This system aims to use technology more effectively while still being feasible without full computerization, through cross-checking coupons to identify any fake cards or diversions. The goals are to manage inventory better, empower customers, and ensure effective delivery of subsidized food to those in need.

1. Manthan Topic : Public Distribution System
FAIR RATION ALLOCATION
Team Members :-
Utkarsh Dhadge
Videh Paliwal
Vinay Rathod
Rahul Rane
Vaibhav Utpat

2. Functioning of Current PDS
• Public Distribution System (PDS) is an Indian food
security system.
• It distributes subsidized food and non-food items
to India's poor such as wheat, rice, sugar, and
kerosene, through a network of Fair Price
Shop(FPS).
• Schemes Under the PDS are :- 1) TPDS 2) AAY
• Under TPDS, A BPL card holder should be given
35 kg of foodgrain and APL card holder should be
given 15 kg of food grain as per the norms of PDS.

3. Leakages Under PDS
• The government spends Rs.
750 billion ($13.6 billion)
per year, almost 1 percent of
GDP, yet 21% remain
undernourished.
• As per allocation of 2013
food grains distribution,
there is huge difference
between allocation and off
take.
• Irregularities in PDS
includes losses due to over-
allotment, fake ration cards,
transportation, distribution
problems.

4. Supply Chain Management Of Ration
Is Major Concern
• As Food Security Bill is passed this year and covers a lot
rural areas in India. So, peoples will take advantage of PDS
in coming year.
• So, it is necessary for government to do a proper allocation
of food items. Data mining can be a one option to control
the losses due to over-allotment, fake ration cards,
transportation, distribution problems.
• Through Data Mining, databases at different regions can be
used for analyzing data through which requirement from
taluka, district can be managed, inventory management can
be done.

5. Current Flow of distribution
Taluka level
District level
State level
• State government and
central collectively sends
food grains to district
level
• It is distributed over the
state governments
godown
• From the godown it is
distributed over FPS of
each area

6. Proposed system Database
• Registration and entry of
FPS to taluka database
• Registration of customer
associated with FPS to
taluka database
• Summary of taluka
activities reported to
district, which is
forwarded to state

7. Activation of ration card
• Registered customer is activated for 2 months
• Card will be activated for 2 months only
• Deactivated customer could not take ration
• Activated customer will
get barcode coupons at the time of activation

8. System Flow

9. Functioning of Activation Center
• Activate the ration card of the users after each two months and
give barcode coupons for that two months.
-if 35kg is allocated give 35barcoded coupons.
• Cross checking of barcode coupons submitted by FPS person
and previous 2 months activated customers.
• Results of cross checking will be used for supply of food items
for next month allocation to FPS .
• Postman as Infoman and rural devlopment officers may work in
small town as activator system

10. Functioning of Customer
• Reporting at Activation Center for activation of ration
card for each two months.
• Collecting Barcode coupons for each two months.
• Users who are not activated will not be able to take ration
for that months.

11. Functioning of FPS Person
• Cross checking of Ration card and barcode coupons.
• At the end of two months, FPS person will submit all the
used coupons at activation center.
• Off take in kg from FPS is equal to coupons collected.

12. Advantages
• Useful where 100% computer automation is not possible.
• Base for automation is created .
• If fake barcode coupons are used,it is easy to locate the FPS
and area in cross checking.
• Cost effective.
• Easy to implement.
• Effective use of technology.
• Inventory management.
• Powerless FPS person.
• Effective Supply chain management.
• Effective solution for “FOOD SECURITY”.

13. • Data Mining:BPB Publications.
• Distributed Data Structure:McGraw Hill Publications.
• http://iisfm.nic.in/d_reports/show_reports.aspx?rid=Rpt_Graph_R
egion_Fin_Year_TPDS_Offtake
• http://pib.nic.in/newsite/erelease.aspx?relid=74180
References