The offtake of grain increased with the implementation of the NFSA in 2013, and the figures rose from 53.4 MMT in 2019-20 to 82.23 MMT in 2022-23 (Figure 2). [...] Estimation of PDS Leakage PDS leakage is one way of looking at the efficiency of the food grain management system in terms of estimating the proportion of rice and wheat, that has been distributed through offtake, but could not reach the consumers. [...] It goes to the credit of the government that they took note of high leakages in the PDS system and made the installation of the Point of Sale (PoS) machines in FPS around 2016. [...] As the HCES data reveals that the share of food expenditure on livestock and fruit has increased, however, the share of spending on pulses and vegetables in the total food expenditure declined from 2011-12 to 2022-23 (Figure 7). [...] Reducing such leakage is a major policy concern, alongside re-evaluating the scope of PDS coverage to focus on the bottom 15 percent of the population, while the 15-57 percent income group could be given access to grains at half of the MSP.
Authors
- Pages
- 19
- Published in
- India
Table of Contents
- 5.1 Targeting Beneficiaries Effectively .......................................................................................... 9 3
- 5.2 Direct Benefit transfers for Ration Card Holders .................................................................. 10 3
- 5.3 Transforming Fair Price Shops into Nutrition Hubs and Food Stamp Approach ................... 10 3
- Abstract 4
- Acknowledgement 4
- Keywords 4
- India food security Public Distribution System National Food Security Act DBT 4
- Nutrition 4
- JEL Codes 4
- Q18 H44 4
- Authors email 4
- Disclaimer 4
- List of Abbreviations 5
- 1. Introduction 6
- Figure 1 Trends of gap between Central Issue Price and Economic cost of rice and wheat 6
- 2000-01 to 2023-24 6
- Source FCI DFPD. After 2013 NFSA was implemented and CIP fixed at Rs. 3 per kg for rice and Rs. 2 per kg for wheat followed by free from 2022. 6
- Antyodaya 6
- Figure 1 7
- Antyodaya Anna Yojana AAY 7
- AAY 7
- Figure 2 7
- Figure 3 8
- Figure 2 Offtake of Rice and Wheat 8
- FY11 to FY24 8
- Figure 3 Total Food Subsidy 8
- FY11 to FY24 8
- Source FCI Budget document Ministry of Finance GoI 8
- 2. Estimation of PDS Leakage 8
- Figure 3 9
- Table 1 PDS leakage in cereals 2022-23 9
- Source Unit level data HCES 2022-23 Notes Reference period August 2022 to July 2023. State- specific offtakes are added in the total offtakes from state public distribution websites. 9
- 3. PDS Leakage across States 10
- Figure 4 10
- Figure 4 State-wise Percentage Leakage of Grains from PDS 2022-23 11
- Figure 5 6 11
- Figure 5 Share of states in Total Rice PDS 12
- Figure 6 Share of states in Total Wheat 12
- PDS leakage 12
- Source Unit level data HCES 2022-23 12
- 4. Towards Nutrition Security 12
- Figure 7 Share of Different Food Items in Total Food Spending in Rural 13
- 7. a 7.b 13
- 5. Rationalising the PDS system 14
- 5.1 Targeting Beneficiaries Effectively 14
- 5.2 Direct Benefit transfers for Ration Card Holders 15
- 5.3 Transforming Fair Price Shops into Nutrition Hubs and Food Stamp Approach 15
- References 16
- Caulfield L. E. Richard S. A. Rivera J. A. Musgrove P. Black R. E. 2006. 16
- Gulati A. Saini S. 2015. 16
- Leakages from Public Distribution System PDS and the Way 16
- Forward 16
- NFHS 2019-21 16
- Shanta Kumar Committee. 2015. 16
- HCES 2024. 16
- Department of Food and Public Distribution DFPD. 2024. 16
- United Nations Development Programme UNDP India. 2023. 16
- Department of Food and Public Distribution DFPD. 2020. 16
- Annexure 17
- Annexure 1 PDS leakage estimation across states 2022-23 17
- Source Authors calculation based on FCI and HCES unit level data 2022-23 17
- Annexure 2 Economic cost and CIP trends of rice and wheat in India 2000-01 to 2023-24 18
- Source FCI DFPD GoI 18
