PUDUCHERRY: As the distribution of food grains through ration shops is expected to restart soon, Chief Minister N Rangasamy has requested the Ministry of Home Affairs (MHA) to allow the Union Territory to distribute food grains through Fair Price Shops under its State Free Rice Scheme, instead of the current Direct Benefit Transfer (DBT) mode.
The DBT scheme, launched in 2016, originally provided 20 kg of free rice per month to all ration cardholders but was later scaled down to 10 kg for APL (Non-PHH) cardholders.
In a memorandum to Union Home Secretary Govind Mohan who is on a visit to Puducherry, Rangasamy said that due to a policy shift advised by the MHA in 2019, beneficiaries have been receiving cash subsidies in place of food grains.
However, Rangasamy, supported by public demand, argues that distributing rice directly would ensure better food security, particularly for daily wage labourers and vulnerable groups which constituted 60% of the beneficiaries. A 2019 study also indicated that 87% of beneficiaries preferred receiving rice over cash transfers, with many expressing concerns about misusing the funds for non-food expenses.
He cited the neighbouring state of Tamil Nadu’s success in distributing essential commodities in kind through its FPS network The reopening of Fair Price Shops would also provide employment to over 1,000 workers who were left jobless after the shops closed, said Rangasamy.
The Puducherry government is currently awaiting MHA's response, while also preparing to adopt the SMART-PDS initiative aimed at modernizing food distribution and preventing leakage of food grains.