“The test of our progress is not whether we add more to the abundance of those who have much ; it is whether we can provide enough for those who have too  little”

The present UPA  government led by Congress seems encouraged by the above saying of Mr. Franklin D. Roosevelt and thus dreams of creating an egalitarian society not just by launching proletarian schemes for the welfare of the poor but also caters to the needs of the well –offs by involving itself in various corrupt practices and thus creates an equilibrium for the two different sections of the society.

We all must have heard news anchors shouting at  top of their voices about the recently passed food security bill. Some optimists think that the food security bill will further push our burgeoning current account deficit up  and some pessimists think this is again a political tool for massing votes in the next general election. Many opinions , many voices . So before forming any opinion let us inquire  what this food bill is all about ? Who are the ones at the receiving end ? What are the objectives of this bill? What is its cost?

The national food security bill came through an ordinance on 5^th of july 2013 and was passed on 26^th August 2013. It gives legal entitlement to 67% of our total population i.e; 75% to rural folks and 50% to urban folks.

ENTITLEMENTS THROUGH PUBLIC DISTRIBUTION SYSTEMS

The priority households will get 5 kgs of food grains per person and the Antyodaya households will be awarded 35 kgs per household per month. The public distribution system issue prices are given as rupees 3,2,1 for per kg of rice, wheat and millets respectively. The prices may be revised after every 3 years.

CHILDREN’S ENTITLEMENT

Children falling between the age group of 6 months to 6 years will get an age appropriate meal, free of charge through local anganwadis. The age group lying between 6 to 14 years would get one free mid day meal everyday except on school holidays in all government and government aided schools up to 8^th class. For below 6 months “exclusive breastfeeding shall be promoted”.  Malnourished children will be provided meals free of charge through the local anganwadi centres.

ENTITLEMENTS TO PREGNANT AND LACTATING WOMEN.

Every pregnant and lactating mother will get a free meal at the local anganwadi during pregnancy and 6 months after child birth. Also they would be awarded maternity benefit of rupees 6000 in installments.

IDENTIFIACTION OF ELIGIBLE HOUSEHOLDS

The bill does not specify criteria for the identification of households eligible for PDS entitlements. The central government is to determine the state-wise coverage of the PDS. Then number of persons will be calculated from census population figures. The identification of eligible and priority households would be subjected to the scheme’s guidelines for Antyodaya  and also the guidelines to be “specified”  by the state government . The identification has to be completed within 365 days and the list to be placed in public domain and “displayed prominently”.

FOOD COMMISSIONS

The bill provides for the creation of state food commissions and their main functions are as follows -:

1.       To monitor the implementation of the act.

2.       Give advice to the state government and their agencies.

3.       Inquire into violations of entitlements.

4.       State commissions also have to hear appeals against orders of the District Grievance Redressal Officer and prepare annual reports .

TRANSPARENCY AND GRIEVANCE REDRESSAL

Mandatory transparency provisions include -:

1.       Placing all PDS records in the public domain.

2.       Conducting periodic social audits of the PDS and other welfare schemes.

3.       Using information and communication technologies to ensure transparent recordings of transactions at all levels.

4.       Setting up vigilance committees at all levels to supervise all schemes under the act.

DISTRICT GRIEVANCE REDRESSAL OFFICER

Appointed by state government for each district to hear complaints and take necessary action according to norms to be prescribed by state governments. If a person is not satisfied he or she can appeal before the State food commission .

PENALTIES AND COMPENSATION

The food commission has powers  to impose penalties . If an order of the DGRO is not complied with , officer would be fined with rupees 5000 . The food commission can authorize “any of its members” to act as an adjudicating officer for this purpose.

In case of “non supply of the entitled quantities of food grains or meals to entitle persons” , such persons will be entitled to a food security allowance from the state government , as prescribed by the central government.

OTHER PROVISIONS

The bill states that central and state governments  “shall endeavour to progressively undertake” various PDS reforms, including

1.       Doorstep delivery of foodgrains

2.       End –to –end computerization

3.       Leveraging “aadhar(UID) for unique identification of entitled beneficiaries

4.       Full transparency of records

5.       Management of fair price shops by women or their collectives

6.       Diversification of commodities distributed under the PDS

7.       Introducing schemes such as cash transfer , food coupons or other schemes to the targeted beneficiaries in order to ensure their food grain entitlements as prescribed by the central government.

A THREE- TIER GOVERNMENT MACHINARY

CENTRAL GOVERNMENT

To provide food grains (or failing  that funds ) to state  governments , at prices scheduled in first , to implement the main entitlements . The central government has wide ranging powers to make  rules “in consultation” with the state government.

STATE GOVERNMENT

Implement the relevant schemes in accordance with the central government’s guidelines. They are free to extend the benefits and entitlements beyond what is prescribed in the bill, from their own resources.

LOCAL AUTHORITIES AND PANCHAYATI RAJ

Institutions are responsible for proper implementation of the bill in their respective areas and may be given additional responsibilities by notification.

DRAWBACKS

The present food bill is making tall claims without even accounting the status of the infrastructure in the country. An agrarian state altogether dependent on monsoon for its harvest presents a huge problem because India is a nation which frequently faces the problems of drought and famine.

It is an oil-import dependent  economy and the recent middle – east political and economic instability has contributed in the sky-rocketing of oil prices and so there fore the increase in oil prices would lead to an increase in wage prices , thus shooting food grain prices upwards and a big hole in the already burgeoning   current account deficit. On March 31^st our CAD was 5.2% of the GDP and the government is planning to bring it down to the level of 3% of GDP in the next 4 years.

According to an interview conducted by the WALL STRRET JOURNAL  the cost for the food bill shall go up from 0.8% to around 1.1% of the GDP. It will provide 62 million tones of food a year under the bill and size of subsidy is $24 billion. The Commission for Agricultural Costs and Prices says “the stated expenditure is just the tip of the iceberg”. It is not $ 22 billion but $ 42 the actual cost of the bill .

Moreover no guideline has been provided for the identification of the needy ones . Again the Indian government is committing the same mistake and there fore most of the people would be excluded this time also in the absence of any specific guidelines.

The provision of the central government to provide funds due to supply constraint problems means that people would be charged at the market rate and also  non –availability of  commodities in the market and government warehouses would mean no security from higher prices to the people. The scheme is therefore not inclusionary in nature due to its inability to overcome its biggest problem of identifying the needy and the have-nots. Thus as has been the discourse it is a political decision for gathering votes.

   

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