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Agriculture performance food security and public distristribution system.

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Page 1: Agriculture performance food security and public distristribution system.
Page 2: Agriculture performance food security and public distristribution system.

Seminar - I

Agriculture Performance- Food Security and Public Distribution System (PDS)

Major advisor Dr. H. Basavaraja

ByNajath Paraveen NavalurPGS12AGR5750UAS Dharwad

Page 3: Agriculture performance food security and public distristribution system.

Flow of Presentation

Introduction

Agriculture performance in India

Food security - Dimensions of food security

Projected demand & supply of food- food gap

Public distribution system (pds)

Case study

conclusion

Page 4: Agriculture performance food security and public distristribution system.

INTRODUCTION

Page 5: Agriculture performance food security and public distristribution system.

India’s population is 1.25 billion.

India’s food grain production 259 million tonnes.

India achieved national food self -sufficiency 35 years ago,

Yet about 35% of its population remains food insecure.

Low incomes and high food prices prevent individual food security.

Another aspect of India’s food insecurity situation is that even after over three

decades of operation, Public Distribution System (PDS) meets less than 10% of consumption of grains by the poor.

Page 6: Agriculture performance food security and public distristribution system.

Agriculture is the backbone of the Indian economy.

Around 58% population of India depends on Agriculture.

Produces 51 major Crops.

India ranks second worldwide in farm output.

India is the leading producer of Jute, pulses mangoes, bananas, cashew nuts and ginger..

Indian Agriculture Sector

Page 7: Agriculture performance food security and public distristribution system.

Second largest producer of wheat, paddy , sugar, cotton, fruits and vegetables.

Agriculture accounts for 10% of the total exports earning and provide raw material to a large

number of industries.

India ranks among world’s 5 largest producers of over 80% of agriculture commodity viz

coffee, cotton, livestock and poultry meat.

Contributes 16% to GDP.

Page 8: Agriculture performance food security and public distristribution system.

Prior mid-1960s India relied on imports (PL-480).

Punjab led India's green revolution.

A hectare of Indian wheat farms that produced an average of 0.8 tonnes in 1948, produced 4.7 tonnes of wheat in 1975 from the same land.

By 2000, Indian farms adopted wheat varieties capable of yielding 6 tonnes of wheat per hectare.

Success story of Indian Agriculture……

Page 9: Agriculture performance food security and public distristribution system.

Agriculture productivity in India, growth in average yields from 1970 to 2010

Crop

Average YIELD, 1970-1971

Average YIELD, 1990-1991

Average YIELD, 2010–2011

Kg/ha Kg/ha Kg/ha

Rice 1123 1740 2240

Wheat 1307 2281 2938

Pulses 524 578 689

Oilseeds 579 771 1325

Sugarcane 48322 65395 68596

Tea 1182 1652 1669

Cotton 106 225 510

Page 10: Agriculture performance food security and public distristribution system.

Special programmes were undertaken to improve food and cash crops supply

Grow more food campaign (1940).

Integrated production programmes (1950) focused on food and cash crops.

Five year plans of India- oriented towards agriculture development.

Land reclamation, land development, mechanization, electrification, use of fertilizers, chemicals.

Green revolution(1960).

Yellow revolution (1986-1990).

Operation Flood(1970-1996).

Blue revolution (1973-2002).

Mile Stones in Agricultural Development

Page 11: Agriculture performance food security and public distristribution system.

Total Output in last five years

FY07 FY08 FY09 FY10 FY11 FY12115

120

125

130

135

140

145

150

155

Agriculture Output in USD(b)

Value In USD (b)

Growth only 2 %

Source: Ministry of Agriculture

Page 12: Agriculture performance food security and public distristribution system.

Agriculture contribution to GDP

2009-10 2010-11 2011-12 2012-1313.2%

13.4%

13.6%

13.8%

14.0%

14.2%

14.4%

14.6%

14.8% Contribution to GDP in %

Years

Source: Ministry of Agriculture

13.7

14.01

Page 13: Agriculture performance food security and public distristribution system.

Year Food production

1950-51 50.8mt

1960-61 82mt

1970-71 108.4mt

1980-81 129.6mt

1990-91 176.4mt

2000-01 196.8mt

2011-12 259mt

2012-13 255mt

India’s food grain (rice, wheat, coarse grains and pulses) production.

Source: Ministry of Agriculture, India

Page 14: Agriculture performance food security and public distristribution system.

Year Rice Wheat Other cereals Pulses Total food grains

Increase per year

2000-01 84.98 69.68 31.07 11.08 196.81 -

2001-02 93.34 72.77 33.37 13.37 212.85 8.1

2002-03 71.82 65.76 26.06 11.13 174.77 -17.8

2003-04 88.53 72.16 37.59 14.91 213.19 21.98

2004-05 83.13 68.64 33.46 13.13 198.36 -6.95

2005-06 91.79 69.35 34.08 13.38 208.60 5.2

2006-07 93.36 75.81 33.91 14.20 217.28 4.2

2007-08 96.69 78.57 40.76 14.76 230.78 6.2

2008-09 99.18 80.68 40.04 14.57 234.47 1.6

2009-10 89.09 80.80 33.56 14.66 218.11 -7.0

2010-11 95.98 86.87 43.4 18.24 244.49 12.2

2011-12 105.30 94.88 42.02 17.09 259.29 6.1

2012-13 104.40 92.46 40.05 18.45 255.36 -1.5

Food grain production in India (million tones)

Source: Economic survey, 2011-12

Page 15: Agriculture performance food security and public distristribution system.

CropsAverage Annual growth rate Average Annual growth rate

10th plan (2002-03 to 2006-07) 11th plan (2007-08 to 2011-12)Area Production Yield Area Production Yield

Rice -0.39 1.25 1.17 0.18 2.69 2.41Wheat 1.30 1.11 -0.32 1.31 4.61 3.29Jowar -2.84 -0.89 2.07 -5.71 -3.00 3.26Bajra 1.67 17.12 7.28 -1.38 7.84 8.64Maize 3.77 4.02 -0.15 2.16 8.90 6.74Ragi -5.52 -2.67 0.40 0.41 8.11 6.66Small millets -5.03 -2.49 2.32 -4.42 -0.13 4.08Barley -0.28 -1.21 -0.90 0.61 6.32 4.64Coarse cereals -0.26 2.55 1.75 -1.59 5.68 7.27

Total cereals 0.07 1.21 0.74 -0.03 3.79 3.76Gram 3.60 4.70 0.28 2.32 4.62 2.27Tur 1.38 1.06 -0.41 3.13 4.84 1.54Total pulses 1.31 2.66 0.65 1.36 4.28 2.78Total food grains 0.29 1.29 0.59 0.19 3.80 3.55Sugar cane 3.98 4.90 0.66 0.04 0.99 0.87Ground nut -1.65 3.61 4.32 -0.86 15.82 13.91Seasamum 0.98 3.64 0.51 2.42 8.28 5.30Rape and mustard 7.32 11.55 3.24 -1.69 -0.37 0.76Sunflower 14.04 13.83 0.37 -18.74 -14.46 6.20Soyabean 5.80 12.26 6.18 4.00 7.71 3.90Total nine oilseeds 3.55 7.99 3.53 -0.07 5.54 5.32Cotton 0.57 20.01 19.40 5.97 10.46 3.93Jute -1.82 -0.38 1.49 0.47 1.26 0.62Mesta -3.85 -2.44 1.45 -7.00 -5.94 0.80

Source: Indiastat.com

Page 16: Agriculture performance food security and public distristribution system.

Growth rates of Population and net food grain production

Source: The relevance of the concept of food security in the context of the Indian Economy, Dhirendra Nath Konar, 2012

Years Population(In million)

Net production of food grains

(in million tons)

CGR per decade of the

growth of population

CGR per decade of the growth of food

grains

1951 363.2 48.1 - -

1961 442.4 72.0 1.99 4.12

1971 551.3 94.9 2.23 2.80

1981 688.5 113.4 2.25 1.80

1991 851.7 154.3 2.15 3.13

2001 1027 172.2 1.95 1.10

2011 1210.2 210.2 1.65 2.89

Average 733.47 123.59 - -

S.D 28.9 53.57 - -

C.V 39.40 43.34 - -

Page 17: Agriculture performance food security and public distristribution system.

Food itemsGap (Supply-Demand)

2011 2021 2026

Rice 1.26 8.98 9.13

Wheat 21.21 27.33 32.04

Total cereals 21.19 -2.94 -16.97

Pulses -8.05 -24.92 -39.31

Edible oil -6.66 -17.68 -26.99

Sugar -4.31 -39.67 -74.13

Source: Surabi (2011)

Supply-Demand Gap for selected Food Item (million metric tones)

Page 18: Agriculture performance food security and public distristribution system.

Food items Demand Supply

Rice 1.55 1.01

Wheat 1.42 1.34

Total cereals 3.17 1.45

Pulses 6.51 0.91

Edible oil 5.95 2.13

Sugar 8.22 0.14

Source: Surabi (2011)

Per cent annual growth rate of projected supply and demand

Page 19: Agriculture performance food security and public distristribution system.

Food Security:

According to FAO (Food security)

All people at all time have both physical and

economic access to the basic food they need.

WORLD BANK DEFINITION (1986):

“Access by all people at all times to enough food for an active, healthy life. Its essential elements are the availability of food and the ability to acquire it”

The World Food Summit of 1996 food security

exists “when all people, at all times have

physical, social, economic access to sufficient,

safe and nutritious food to maintain a healthy

and active life”.

Page 20: Agriculture performance food security and public distristribution system.

Food Security ensured in the country only if

Enough food is available for all the persons.(Food Availability)

There is no barrier on access to food (FOOD ACCESS)

All persons have the capacity to buy food of acceptable quality(FOOD Utilization) and

Food security is a complex sustainable development issue.

Food Security

Food Access

Food Utilization

Food Availability

Page 21: Agriculture performance food security and public distristribution system.

Why India still not achieved food security?????

Growing population

Shifting of food grains area to non food grains areas.

Worrisome of food inflation

The sick public distribution system

Food subsidies

Climate change18

Page 22: Agriculture performance food security and public distristribution system.

Why food security is needed?

Ever growing population.

For the poor section of the society.

Natural disasters or natural calamity like earthquake, flood and tsunami.

Wide spread of crop failure due to drought.

0

Page 23: Agriculture performance food security and public distristribution system.

India has 872.9 (29%) million undernourished people(FAO)

49% of the world's underweight children(WHO)

34% of the world's stunted children (WHO)

over 46% undernourished children (WHO).

According to latest GHI report 2012 from IFPRI, India ranks 65 behind china (2nd) and Pakistan (57th).

Stark realities of India

Page 24: Agriculture performance food security and public distristribution system.

major States at hunger index and the underlying components

State Prevalence of calorie undernourishment (%)

Under weight children below 5

years (%)

Under 5 mortality rates

(deaths per hundred Lives)

Indian state hunger index

rank

Punjab 11.1 24.6 5.2 1 Kerala 28.6 22.7 1.6 2 AP 19.6 32.7 6.3 3 Assam 14.6 36.4 8.5 4 Haryana 15.1 39.7 5.2 5 Tamilnadu 29.1 30 3.5 6 Rajasthan 14.0 40.4 8.5 7 West Bengal 18.5 38.5 5.9 8 UP 14.5 42.3 9.6 9 Maharashtra 27.0 36.7 4.7 10 Karnataka 28.1 37.6 5.5 11 Orissa 21.4 40.9 9.1 12 Gujarat 23.3 44.7 6.1 13 Chhattisgarh 23.3 47.6 9.0 14 Bihar 17.3 56.1 8.5 15 Jharkhand 19.6 57.1 9.3 16 MP 23.4 59.8 9.4 17 India 20.0 42.5 7.4

Page 25: Agriculture performance food security and public distristribution system.
Page 26: Agriculture performance food security and public distristribution system.

Food insecurity will result in

Starvation

Famines and starvation deaths in India

Bengal famine 1943- killed 1.5 million to 3 million people.

Bihar famine 1966-67 – 2353 deaths due to starvation

Starvation deaths have also been reported in

1. Kalahandi and Kashipur in Orissa

2. Baran district of Rajasthan.

3. Palamau district of Jharkhand

Page 27: Agriculture performance food security and public distristribution system.

According to report of the Food and Agricultural Organization (FAO) of the United Nations, number of hungry people in India had been:

1979-81: 261.5 million (38%)

1990-92: 215.6 million (25%)

1998-2000: 233.3 million (24%)

2000-2012: 300 million (30%)

26

Page 28: Agriculture performance food security and public distristribution system.

Several schemes started to achieve food security are:

The Food for Work Programme was started in 1977-78.

In September 2001, different programmes were merged into an umbrella programme called SGRY (Sampoorna Gramin Rozgar Yojana – Comprehensive Rural Employment Scheme)

In February 2006, a National Rural Employment Guarantee (NREG) scheme was launched in 200 most backward rural districts under NREG Act passed by the Parliament.

The Rajiv Gandhi Drinking Water Mission,

Rashtriya Krishi Vikas Yojana with an outlay of Rs. 25000 crore

National Food Security Mission with an outlay of about Rs. 6,000 crore

Page 29: Agriculture performance food security and public distristribution system.

Food security Management in India

• Procurement of food grains from farmers at remunerative prices.(Procurement price/MSP)

• Distribution of food grains to the consumers, particularly the vulnerable sections of the society at affordable prices through PDS and

• Maintenance of food buffers for food security and price stability.

Page 30: Agriculture performance food security and public distristribution system.
Page 31: Agriculture performance food security and public distristribution system.

Public Distribution System (PDS)

The Indian PDS is a national food security system that distributed subsidized food to India’s poor. PDS means distribution of essential commodities to a large number of people through a network of Fair Price Shops (FPS) on recurring basis.

Definition: Public distribution system is a government-sponsored chain of shops (Fair price shops) entrusted with the work of distributing basic food and non-food commodities to the needy sections of the society at very cheap prices.

Page 32: Agriculture performance food security and public distristribution system.

The commodities distributed are as follows:Wheat

Rice

Sugar

Kerosene

In India there are about 4.5 lakh Fair price Shops distributing food grains to about 16 crore families spending more than Rs.30,000 crore.

Each shop covers about 2000 people. PDS in India perhaps the largest distribution network of its type in the world.

Page 33: Agriculture performance food security and public distristribution system.

PDS Evolution in India

At the time of world war II British government introduced the first structured public distribution of cereals in India through the rationing system in Bombay and Calcutta.

In 1943 India abolished the rationing system.

After independence in 1950 due to inflationary pressure in the economy, India reintroduced rationing .

Due to the ineffectiveness of Rationing System to reach the poor.

Page 34: Agriculture performance food security and public distristribution system.

Revamped Public distribution System (RPDS) was launched on Jan 1 1992 and made effective from June 1, 1992, in selected blocks (1775 blocks).

In June, 1997, Targeted Public distribution system (TPDS) was launched. To target the needy people and provide them an assured supply of food grains.

In TPDS the main aim was to target the “poor in all areas”. The distribution of food grains operated under two tier system of delivery to households Below poverty line (BPL) Above poverty line (APL)

Contd……

Page 35: Agriculture performance food security and public distristribution system.

In August 2001, Sampoorna Grameen Rozgar Yojana (integrated rural employment scheme) - five million tons

Mid day meal scheme , wheat based nutrition programmes, scheme for supply of food grains to SC/ST.

In December 2000, Antyodaya Anna Yojana

Annapurna Scheme

Page 36: Agriculture performance food security and public distristribution system.

India’s Food Security System

Buffer Stock

Public Distribution

System

Food Security

system of India

Page 37: Agriculture performance food security and public distristribution system.

How Public Distribution works:

Farmers or Producers

Fair Price Shops

FCI(Maintains

Buffer Stocks)

States

MSPDistributes Grains

Allocates Grains

Central Issue Price

Grains

Consumer

Page 38: Agriculture performance food security and public distristribution system.

As On

Wheat Rice Total

Actual stock

Minimum Buffer norms

Actual stock

Minimum Buffer norms

Actual stock

Minimum Buffer norms

1.4.2010 161.25 70 267.13 142 428.38 212

1.7.2010 335.84 201 242.66 118 578.50 319

1.10.2010 277.77 140 184.44 72 462.21 212

1.1.2011 215.40 112 255.80 138 471.20 250

1.4.2011 153.64 70 288.20 142 441.84 212

1.7.2011 371.79 201 268.57 118 640.36 319

1.10.2011 314.26 140 203.59 72 517.85 212

1.1.2012 256.76 112 297.18 138 553.94 250

1.4.2012 199.52 70 333.50 142 533.02 212

1.7.2012 498.08 201 307.08 118 805.16 319

1.10.2012 431.53 140 233.73 72 665.26 212

1.1.2013 343.83 112 322.21 138 666.04 250

Source: Food, Civil supplies and consumer affairs

Stock position of food grains in the central pool vis-à-vis minimum buffer norms (Lakh tones)

Page 39: Agriculture performance food security and public distristribution system.
Page 40: Agriculture performance food security and public distristribution system.

Year Amount(crore)% of Total Govt

Expenditure

2001-02 17,494.00 3.61

2002-03 24,176.45 4.83

2003-04 25,160.00 5.17

2004-05 25,746.45 6.21

2005-06 23,071.00 7.02

2006-07 23,827.00 7.90

2007-08 31,259.68 8.46

2008-09 43,668.08 9.60

2009-10 58,242.45 10.42

2010-11 62,929.56 13.20

2011-12 72,370.00 14.12

Quantum of food subsidies released by government of India

Source: Department of food and public distribution.

Page 41: Agriculture performance food security and public distristribution system.

StatesAllotment Off take

BPL AAY APL TOTAL BPL AAY APL TOTALAP 175.348 109.048 352.740 637.136 219.00 138.263 245.779 603.142Arunachal Pradesh 4.254 2.664 10.010 16.926 4.336 2.631 9.367 16.604Assam 79.204 49.282 185.990 314.476 77.737 48.242 150.401 276.380Bihar 281.562 175.070 160.680 617.312 301.501 204.842 33.378 539.721Chhattisgarh 80.948 50.324 76.080 207.352 78.519 50.324 66.516 195.359Delhi 18.166 10.514 71.190 99.820 21.927 8.942 79.010 109.879Goa 0.922 1.018 8.566 10.506 0.922 1.018 9.927 11.867Gujarat 91.728 56.680 199.110 347.518 98.389 65.084 119.022 282.495Haryana 34.762 20.470 70.770 126.002 34.960 18.152 35.658 88.770HP 22.190 13.790 52.010 87.990 20.854 13.769 52.876 87.509J & K 33.616 17.898 74.620 126.134 34.894 19.055 82.199 136.148Jharkhand 103.328 64.254 58.860 226.442 98.235 62.575 0.955 161.766Karnataka 139.410 79.635 189.242 408.288 150.498 85.486 196.331 457.315Kerala 67.058 41.710 136.680 245.448 77.780 46.998 155.214 279.992MP 178.036 110.710 167.340 456.085 170.136 92.999 71.309 337.445Maharashtra 284.904 172.480 335.790 793.174 299.549 181.040 188.614 669.203Manipur 7.168 4.454 16.870 28.492 7.531 4.524 19.914 31.959Meghalaya 7.896 4.914 18.620 31.430 8.271 5.187 19.661 33.119Mizoram 2.940 1.820 6.930 11.690 2.790 1.720 6.691 11.201Nagaland 5.352 3.328 12.466 21.146 6.775 4.524 15.156 26.455Orissa 194.262 88.520 83.214 365.996 194.262 84.429 70.652 349.343Punjab 20.196 12.560 105.240 137.995 12.568 6.032 68.956 87.556Rajasthan 104.922 65.248 193.080 363.250 101.948 64.014 196.184 362.146Sikkim 1.884 1.159 4.340 7.380 2.340 1.156 4.409 7.905TN 209.872 130.524 280.076 620.472 229.266 150.537 261.334 641.137Tripura 12.730 7.920 29.890 50.540 13.056 8.559 31.670 53.285U P 460.950 286.580 463.890 1211.420 455.633 301.191 360.256 1117.080Uttarakand 21.498 13.364 52.470 87.332 23.119 12.054 54.534 89.707West Bengal 258.930 103.614 280.322 642.855 279.755 85.637 266.953 632.345A & N islands 0.890 0.300 4.480 5.670 0.679 0.210 1.772 2.661Chandigarh 0.626 0.104 5.400 6.130 0.313 0.010 5.214 5.537D & N haveli 0.838 0.366 0.540 1.744 0.840 0.355 0.540 1.746Damen and Diu 0.174 0.106 0.662 0.942 0.202 0.137 0.654 0.993Lakshadweep 0.126 0.084 2.560 2.770 0 0 1.100 1.100Pondicherry 3.594 2.258 4.200 10.052 4.296 2.379 3.513 10.188

Total 2910.234 1702.766 3714.928 8327.928 3032.994 1772.086 2888.989 7604.069

Allocation and off take of rice and wheat for the year 2012-13 under TPDS (in tones)

Source:. Food, Civil supplies and consumer affairs

Page 42: Agriculture performance food security and public distristribution system.

Status of PDS in KarnatakaIn Karnataka there are about 21026 active fair price shops.

Exclusion Error Inclusion Error

Due to miss classification

Due to maladministration

Due to mis classification

Due to maladministration

4.2 lakh household 1.6 lakh household 52.3 lakh household 6.6 lakh household

Karnataka issued 1.6 crore ration card but the present total number of family in the state is only 1.2 crore. that means 40 lakh ghost cards.

Karnataka’s PDS system occur an monthly leakage of Rs. 144.8crore.

Currently Karnataka food bill is issued under this Anna Bhagya Scheme was introduced spending about Rs 460 crore a year.

Page 43: Agriculture performance food security and public distristribution system.

Source: Dr.R.Balasubramaniam, 2012

Magnitude of loss at different levels of PDS in Karnataka.

Page 44: Agriculture performance food security and public distristribution system.

SchemeRice Wheat Total

(A)TPDS

AAY 51.31 25.34 76.65

BPL 86.82 49.82 136.64

APL 52.95 74.81 127.75

Sub Total 191.08 150.01 341.08

Special/Adhoc 14.38 7.76 22.14

Poorest districts 13.06 6.71 19.77

Sub Total (A) 218.52 164.44 382.95

(B) Welfare Schemes

MDM 15.33 3.27 18.60

WBNP 1.88 6.31 8.19

EFP 0.13 0.00 0.13

Hostels/Welfare Institutions 1.78 0.22 2.00

Annapurna 0.39 0.10 0.49

other 0.19 0.47 0.66

Sub total (B) 19.70 10.39 30.09

(C) other schemes

WEF, RELIEF,DEFENCE etc 1.53 0.10 1.63

Open sale/tender sale/export 0.46 56.42 56.88

Sub total(C) 1.99 56.52 58.51

Grand total (A+B+C) 240.21 231.35 471.56

Source: Karnataka Food, Civil supplies and consumer affairs

Off take of Rice and wheat during 2012-13 by Karnataka In Tonnes

Page 45: Agriculture performance food security and public distristribution system.

Type of leakage

Percent States

Total leakage

Abnormal leakage >70 % Bihar and Punjab

Very high leakage 25-50% Assam, Gujarat, Himachal Pradesh, Karnataka, Maharashtra and Rajasthan

Low leakage <25 % AP, Kerala, Orissa, TN and west Bengal

Leakage at fair price shop

Very high leakages >50% Bihar, Haryana and Punjab

High leakage 25-50% UP & Rajasthan

Moderate leakage

10-25 % Bihar, Gujarat, KTK, Maharashtra,Orissa,TN and West Bengal

Low leakage <10% Assam,HP,MP, Orissa,TN & West Bengal.

Leakage through ghost card

Very high Leakage >30% Assam,HP &MP.

High leakage 10-50% Bihar, Gujarat,Ktk,Maharashtra, Orissa, Uttarpradesh and west Bengal

Moderate leakage <10% AP,Haryana,Kerala,Punjab, Rajasthan and TN

Leakages from PDS

Source: Food Security in India: Biswajit Chaterjee,2012

Page 46: Agriculture performance food security and public distristribution system.

Diversion of Food grains (kg/BPL Family/annum)

State Off take by States Off-take by identified BPL families Food Grains not reaching the poor house hold

AP 466.16 197.62 268.51

Assam 490.76 227.32 263.44

Bihar 138.13 12.24 125.89

Gujarat 320.24 169.47 150.77

Haryana 416.16 138.79 277.37

HP 492.22 266.14 226.08

KTK 480.80 139.91 340.89

Kerala 407.58 248.58 159.00

MP 365.57 124.04 241.53

Maharashtra 347.29 227.27 120.02

Orissa 276.37 175.88 100.49

Punjab 364.24 38.25 326.00

Rajasthan 366.53 238.43 128.10

TN 525.95 181.14 344.81

UP 285.16 92.73 192.43

West Bengal 336.78 246.19 90.59

16 states total 380.00 160.25 219.75

Source: Plannning Commission Government of India New Delhi 2005

Page 47: Agriculture performance food security and public distristribution system.

The Major reasons for leakage are:

Inclusion Error

Ghost Cards

Shadow Ownership

Non-accountability of FPS

Page 48: Agriculture performance food security and public distristribution system.

Fallouts of P.D.S.Inferior quality food grains.

Deceitful dealers replace good supplies received from the F.C.I(Food Corporation of India) with inferior stock and sell FCI stock in the black market.

Illicit fair price shop owners have been found to create large number of bogus cards to sell food grains in the open market.

Many FPS dealers resort to malpractice, illegal diversions of commodities, hoarding and black marketing due to the minimal salary received by them.

Regional allocation and coverage of FPS are unsatisfactory and the core objective of price stabilization of essential commodities has not met.

Page 49: Agriculture performance food security and public distristribution system.

What is Aadhaar?

Demographic features like Name, Address, Gender and Date of birth

Biometric features

Iris Finger print

Unique identification

called Aadhaar

Aadhaar and PDS: The Primary Focus

Page 50: Agriculture performance food security and public distristribution system.

Aadhaar can be a potent tool for the government in making the PDS effective in these identified area in the following manner:

One Aadhaar one beneficiary

Aadhaar as sufficient Proof of Identity(POI) and Proof of Address (POA), these individuals can provided with ration cards.

Portability in Identification

Address the issues of leakages and proxy withdrawals.

Flexibility

Page 51: Agriculture performance food security and public distristribution system.

Aadhaar in Karnataka

Bio-metric machine

In Karnataka about 103 Biometric Machines are introduced

Each machine costs about 46,000

Karnataka in total spending about 97 crore to install biometric machine in all fair price shops

Page 52: Agriculture performance food security and public distristribution system.

Case Study

Page 53: Agriculture performance food security and public distristribution system.

Case study I

Role and Effectiveness of Public Distribution

System in providing Food Security in India

Ms. Gurdeep kaur Ghumaan and Dr. Pawan Kumar Dhiman

June 2013

Page 54: Agriculture performance food security and public distristribution system.

Objective of the study:

1. To study the performance and challenges of food security in India.2. Role and Effectiveness of Public Distribution System in providing Food security in India.

Nature of Data

Secondary data were collected from NSSO( National Sample Survey Organisation) . Information on purchases of rice, wheat, sugar, andkerosene from fair price shops were also collected.

Study area

The study was conducted all over India.

Page 55: Agriculture performance food security and public distristribution system.

Per capita consumption and percentage of households reporting consumption from PDS of rice, wheat/atta, sugar and kerosene in 2004-05 and 2009-10, all-India

2009-10 2004-05

Sector Item

Per capita consumption(kg) % share of

PDS in qty. consumed

Per capita consumption(kg)

% share of PDS in

qty. consumed

% of hhs reporting consn. From PDS

during 30 days

PDS OtherPDS

Other source

2009-10 2004-05

1 2 3 4 5 6 7 8 9 10

Rural

Rice 1.408 4.594 23.5 0.839 5.537 13.2 39.1 24.4

Wheat/atta 0.619 3.625 14.6 0.307 3.885 7.3 27.6 11.0

Sugar 0.097 0.563 14.7 0.062 0.587 9.6 27.6 15.9

Kerosene 0.511 0.081 86.3 0.477 0.142 77.1 81.8 72.8

Urban

Rice 0.814 3.706 18.0 0.530 4.181 11.3 20.5 13.1

Wheat/atta 0.371 3.706 9.1 0.167 4.192 3.8 17.6 5.8

Sugar 0.080 0.700 10.3 0.054 0.763 6.6 18.7 11.5

Kerosene 0.295 0.169 63.6 0.350 0.268 56.6 33.0 32.8

Page 56: Agriculture performance food security and public distristribution system.

Percentage of households reporting : Wheat, Rice , Sugar and Kerosene consumption from PDS; share of PDS in quantity consumed : major States

StateWheat share of

PDS in consumption

Rice share of PDS in consumption

Sugar share of PDS in consumption

Kerosene share of PDS in consumption

Rural Urban Rural Urban Rural Urban Rural UrbanAndhra Pradesh 5.1 7.5 32.9 21.5 24.5 12.3 91.46 67.14Assam 1.5 1.3 11.2 5.1 53.2 31.0 72.46 54.55Bihar 5.1 2.4 5.1 2.2 0.9 1.7 83.99 70.16Chhattisgarh 39.1 17.9 41.2 25.7 28.6 11.0 89.34 82.38Gujarat 15.6 5.0 20.3 5.8 14.5 3.3 93.47 56.52Haryana 14.2 8.0 0.5 0.4 2.1 1.9 92.89 53.64Jharkhand 20.6 4.0 14.0 7.4 4.6 1.7 67.32 36.68Karnataka 51.5 13.5 45.0 17.7 18.9 5.4 85.36 50.84

Kerala 39.7 33.1 27.9 24.0 11.2 8.5 95.59 90.37

Madhya Pradesh 21.8 13.2 20.1 8.3 14.1 6.0 90.95 79.33Maharashtra 32.7 8.6 34.2 7.5 9.8 4.6 86.43 47.64Orissa 17.0 10.2 24.8 13.3 16.0 8.9 83.53 52.52Punjab 14.6 9.0 0.1 0.1 0.0 0.3 82.13 23.50Rajasthan 10.5 6.1 0.3 0.2 0.9 0.7 93.51 79.80Tamilnadu 85.8 64.7 52.7 40.9 73.2 62.6 91.49 72.05Uttar Pradesh 6.8 7.6 17.6 7.8 7.0 2.1 85.99 82.69West Bengal 41.4 11.7 6.3 2.9 11.2 4.3 80.01 73.22All India 14.6 9.1 23.5 18.0 14.7 10.3 86.24 63.58

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Conclusion

Page 58: Agriculture performance food security and public distristribution system.

Time for Questions

Page 59: Agriculture performance food security and public distristribution system.

Thank you……


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