OVERVIEW OF THE PUBLIC DISTRIBUTION SYSTEM (PDS)

Author: Pearlyn S. Nair

Roll no: 716-G

Group no: 11

INTRODUCTION

The Public Distribution System (PDS) is a large scale safety net that aims to ensure price stability and food security for low-income individuals and families in India. It is operated by the central government in collaboration with the state governments, and involves the procurement, storage, and distribution of subsidized food grains and other essential commodities through a network of fair price shops (FPS).

HISTORY

The origins of the PDS goes back to the system of food rationing introduced by the British during the Second World War. The setting up of the Foodgrains Prices Committee in 1964 strengthened the position of the PDS. The government committed itself to announce a minimum support price (MSP) to promote agriculture and the stocks procured were to be used towards meeting the needs of the PDS.

STRUCTURE

Food Corporation of India-

• Allocates food grains to state governments based on their population and poverty levels.

• Provides financial assistance

• Formulates policies and guidelines for PDS across the country.

State Governments-

• Primary responsibility of implementing the PDS within their respective states.

• Identify eligible households and issue ration cards to them.

• Allocate food grains and other commodities received from the central government to fair price shops (FPSs).

• Monitor and supervise the functioning of FPSs to ensure transparency and accountability.

• Additional distribution of pulses, edible oil, iodized salt, and spices.

Fair Price Shops (FPSs)-

• Shops where beneficiaries can buy subsidized food grains and other essential commodities using their ration cards.

• Operated by authorized dealers, who are typically shopkeepers or village-level entrepreneurs.

• Goods are sold at fixed price decided ny government

Beneficiaries-

•Include households below the poverty line (BPL) and those identified as Antyodaya Anna Yojana (AAY) families.

•Recently, some states have also implemented portability, allowing beneficiaries to buy their PDS quota from any FPS in the state.

CONCLUSION

PDS was initiated to ensure food security and poverty alleviation. The PDS was made for the less privileged and yet there are leakages, corruptions and targeting errors. The rich are getting richer and the poor are getting poorer because of the uneven distribution. This poverty alleviation program still faces many drawbacks. Yet the government is committed to making it more efficient, effective, and targeted especially during times of food scarcity and price hikes.