Public Distribution System and Food Security Act

(General Studies III – Public Distribution System – Public Distribution System- objectives, functioning, limitations, revamping; issues of buffer stocks and food security)

• “There are people in the world so hungry, that God cannot appear to them except in the form of bread.”— Mahatma Gandhi
• The National Food Security Act (NFSA), 2013 was implemented with the goal of ensuring food security through the Public Distribution System (PDS).
• Despite the system’s historical shortcomings, such as 41.7% leakages as reported by the National Sample Survey (NSS) 2011-12, reforms in states like Bihar, Chhattisgarh, and Odisha have demonstrated significant improvements, raising hopes for nationwide progress under the NFSA.

PDS Leakages and Improvement Trends –

• PDS leakages refer to the proportion of rice and wheat released by the Food Corporation of India (FCI) that fails to reach consumers.
• Over time, leakages have decreased significantly:

Table 1 PDS Leakages Reduced since NFSA

• According to the Household Consumption Expenditure Survey (HCES) 2022-23, PDS leakages have further reduced to 22%, signalling improvements across the system.

Impact of NFSA on PDS Coverage –

• NFSA 2013 expanded PDS coverage, which not only reduced exclusion errors but also helped curb leakages. E.g. By 2022-23, 70% of households were purchasing from the PDS, largely due to the NFSA rollout (in 2011-12 it was 40%).
• Despite these advances, the NFSA’s mandate of 66% coverage (50% rural, 75% urban) has not been fully achieved, with only 59% of the population benefiting from the PDS.

PDS Reforms and Technological Interventions –

• States like Chhattisgarh and Odisha implemented several key PDS reforms.
• Aadhaar-based Biometric Authentication (ABBA) has been employed to reduce leakages, but studies, such as in Jharkhand, indicate that leakages were already declining before ABBA’s introduction (less than 20% before ABBA).
• The One Nation One Ration Card (ONORC) initiative allows beneficiaries to access their PDS entitlements from any Fair Price Shop across India, ensuring better portability of benefits.

Challenges in Efficient PDS –

• Corruption: Certain states, like Tamil Nadu, which traditionally had a well-functioning PDS, have seen an increase in leakages, from 12% in 2011-12 to 25% in 2022-23.
• Exclusion: Technological innovations like Adhar-based authentication exclude people of the working class and can be used as instruments of discrimination.
• Beneficiary Identification: Other ongoing issues include the delayed Census, which led to the exclusion of over 100 million people from the PDS.
• Nutrition: There is a demand to include more nutritious items, such as pulses and edible oil, in the PDS.

Way Forward –

• Continuous monitoring of the system and leakages.
• State support in providing adequate resources for PDS functioning.
• Safeguarding the PDS’s role in ensuring food security, especially for vulnerable populations.

While the NFSA has significantly enhanced the efficiency and reach of the PDS, challenges such as incomplete coverage and leakages remain. Food security is not only about preventing hunger but also about promoting sustainable food systems that are inclusive, resilient, and aligned with sustainable development goals, especially SDG 2: Zero Hunger.