Lok Sabha Question No. 3396 (UNSTARRED), answered on 2021-03-16
Subject: Release of Rural Development Fund to Punjab
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: Gurjeet Singh Aujla, Ravneet Singh

## GOVERNMENT OF INDIA

## MlNlsrRY  oF collsuMER AFFAIRS' FooD & PUBLtc DtsrRtBUTtoN DEPARTTTTENT OF FOOD AND PUBLIG DTSTRIBUTTON

## LOK SABHA UI{STARRED  QUESTION ilO. 3396 TO BE A]{SWERED ON t6tr'MARCH,2O2{

## RELE|ASE  OF RURAL DEVELOPMENT FUND TO PUI{JAB

## 3396. SHRI GURJEET STNGH AUJLA: SHRI RAVNEET SINGH BITTU:

Will the tinister of GONSUMER  AFFAIRS,  FOOD AND  pUBLlc DlsrRIBUTloil 5csTkil ,nr*, sr{q  gt{  Tn+dfrr fuf,{ur  t'*  be pteased  to state:

- (a)  whether the retease of Rurar Deyetopment Fund (RDF) to the state of Punlab has been withheld;
- (b) if so, the reasons therefo4
- (c)  the manner in which {EOO mandis and TOOOO Km. of rural tink roads in Punjab be maintained slnce the state is not receiving any rural development fund;
- (d) whether there is any precedent of non-retease of RDF funds to the State of Punjab in preceding  years;
- (e)  whether the Government is taking any initiative to ensure the early release of the RDF Funds to the State of  puniab;
- (0 af so, the details  thereof and if not, the reasons therefo4  and
- (S)  whether a Rurat Development  Fund component  is proposed  to be added to the Food Gorporation of lndia (FGI) cost sheet to altow cash withdrawal  for food procurement  by mandis and if  so, the detaits thereof?

## ANSWER

MINISTER  OF STATE FOR MtNtSTRy  OF COilSUMER AFFAIRS, FOOD & PUBLIG DISTRIBUTION (sHRt DAilVE RAOSAHEB DADARAO)

(a)  to (g): Admlssible amount of Provlsionat/Advance  Food Subsidy is released to Decentralized  Procurement (DGp) States such as  puniab, based on their quarter-wise ctaims.

The ctaims from State Govemment  towards food subsidy are processed  keeping  in view the opening and closing batance of stock, procurement,  allocation  and distribution  o,  food grains, Food Gorporation  of  rndia (Fct) reconcitiation,  utirization  Gertificate, Economic Gost of foodgrains  etc.r among  oih"r..  For the retease of subsidy to  State Governments,  Department  of  Food and  public Distribution  (DF'D)  arso issues  a  provisionat  Gost (pGs) for every  state containing Minimum  support  price  and varaous  other incidentars including  Statutory  charges.

Reimbursement  of incidentars  and statutory charges is governed by the extant principres  on the subject.  These principres  were rast revised  by DFpD on 24.O2.2O2O  on the recommendations  of a Subcommittee, consisting  of secretaries/ principat  secretaries  of maior procuring  States including that of  punjab.

As per these Revised principles  dated 24.O2.2O2O,  only those

Statutory  Gharges,  which are being utilized  for  improvement  of infrastructure  and facitities to augment the quatity  of  procurement Gentres, shourd be part of the craims for financiar  assistance,  whereas as per  Notification of the  punjab  Rurar Deveropment  Act, r9g7 issued by Punjab Government, the Rurar Deveropment  Fee (RDF)  can be utirized for other purposes  atso like  medical dispensaries,  improvement  of sanitation,  construction  of  rural roads,  etc.  in  addition  to  the improvement  of  proeurement  Gentres.  As the purposes  for which RDF is being used by the state Government were not fufly in line with the Revised Principles,  information  was sought from the state Government on the portion  of RDF being utitized  towards improvement  of facirities at Procurement  centres. Ti[ the requisite information  is received and issue is resolved, as an interim measure,  DFpD has aflowed release of {7o of Minimum support price  (MSp)  as RDF to the state Govemment  for Kharif  Marketing Season (KMS) 2O2O\_2i.

AII the concemed  state Governments incruding  the Government of Puniab, have been requested  to furnish cettain inputs relating to statutory  charges (except Mandi fee). The matter retating to RDiwill be finalized on the basis of inputs received from State Governments.