Lok Sabha Question No. 163 (UNSTARRED), answered on 2021-02-02
Subject: Privatisation of PDS
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: N.K. Premachandran

## GOVERT{MENT OF INDIA

## MINISTRY OF CONSUMER  AFFAIRS, FOOD & PUBLIC DISTRIBUTION DEPARTMENT OF FOOD AND PUBLIC DISTRIBUTION

LOK SABHA UNSTARRED OUESTIOil  NO. 163

TO BE ANSWERED  ON 2"d Februaryr20z1

## PRIVATISATION  OF PDS

## I63, SHRI N.K. PREMACHANDRAN:

Will the DISTRIBUT!ON state: Minister of GONSUMER AFFAIRST FOOD AND PUBLIG JcqtrdT  fif,e, sr{q slk sresB-6'Bdwr  d'* be pleased to

- (a)  whether the Government  proposes to  privatise the  Public Distribution System (PDS);
- (b) if so, the reasons therefo4
- (c) whether the Government  proposes to share the ware houses of the private pailies for stonge of food grain for public distribution system;
- (d) if so the details thereof;
- (e)  whether the Government  proposes to repeal the latest amendment in the Essential Gommodities  Act so as to strengthening  the public distribution  system;
- (O if so, the details  thereof;
- (g)  whether the Govemment  proposes to seek opinion from farmerc and stake holders regarding this;
- (h) if so, the details thereof;
- (i) whether il has come to the notice of the Government that the public distribution  system is  ensuring the  price eontrol of  essential commodities; and
- 0) if so, the action taken to strengthen  the public dastribution system?

## MINISTER OF STATE FOR MINISTRY OF CONSUMER  AFFAIRS,  FOOD &

## ANSWER PUBLIG DISTRIBUTION

(SHRI DANVE RAOSAHEB DADARAO)

- (a) & (b):  No Sir.

- (c) & (d): Yes Sir.

The Government has collaborated  with private sector to meet the requirement of storage space for foodgrain under following schemes:-

## l. Private EntreEreneurs  Guarantee  ( PEG) Scheme

Government of  lndia has formulated a  scheme called Private Entrepreneurs Guarantee (PEG) Scheme for construction  of covered storage capacity. Under this Scheme,  storage capacity is created by private  parties,  GWG, SWGs and other State Agencies for guaranteed hiring by Food Gorporation of India (FGI). Under this scheme, a capacity ot 144.05 LMT has atready been completed as on 31.12-2o.2o.

## ll. Cover & Plinlth  ( GAP) Hirinq Scheme  2O{9

Government of lndia approved a Scheme for construction of (GAP) as temporary storage facilities  on the lines of PEG Scheme in maior procuring  regions viz. Puniab, Haryana, Madhya Pradesh & Uttar Pradesh for guaranteed hiring by FGI for three years to accommodate the Wheat stocks in 2O19. Under this scheme a capacity of {6,{3 LMT

has been constructed.

## lll. Constructio r of steel silos:

Steel Silo storage with bulk handling facility is highly efficient, mechanized  and modernized way of storing foodgrains in bulk.

Accordingl;y,  in order to upgrade and modernize the storage facitities,  Government of lndia has chalked  out an Action Plan for construction  of steel silos on Public Private Partnership  (PPP) mode in the country. Till date a capacity of 8.25 LMT has already been completed. In additionr a capacity of 5.5 LMT has been created under circuit  base model in 2OO7.

(e): No, Sir.

.3t-

- (f) to (h):  Ques;tion  does not arise.

(i) and  fi)  Targeted Public Distribution  System (TPDS)  is  being implemented under the provisions  of Nationat Food Security Act (NFSA), 2O{3 in all States/UTs. The Act provides for coverage  of up to 75o/o ol the rural population and up lo 5Oo/o  of the urban population  for receiving  foodgrains  (rice, wheat & coarse  grains) at highly subsidized rates i.e. Rs.3l2l1 per kg respectively.

To bring reforms in the functioning of the TPDS, this Department in association with all States/UTs had implemented  a scheme on'Endto.End Gompu'terization of  TPDS Operations', which interalia comprased of digitization of all ration cards/beneficiaries'  data in the country, computerisation of the supply chain management etc.. Further, installation  of electronic Point of Sale (ePoS)  devices at all Fair Price Shops (FP$s) are being done for transparent and efficient distribution of subsidised foodgrains to all beneficiaries under NFSA. Presently,  {OO% NFSA ration cards/beneficiaries'  details are digitized in all States/UTs and about 9{% ration cards are also seeded with Aadhaar numbers of beneficiaries.  Besides, 92o/o ol 5.4 Lakh FPSs in the country are having ePoS devices for transparent distribution  of foodgrains and at the nataonal level, more than 7Oo/o of the monthly allocated foodgrains are being distributed  to NFSA beneficiaries by using their biometric  authentication  on ePoS devices.

Further,  at  present the Department  in  association  with all

States/UTs  is implementing  a scheme on  'lntegrated  Management  of Public Distribution  System' (IM-PDS) the main obiective of which is to implement  the nation'wide portability  of ration cards through  'One Nation One Ration Gard'(ONORG) plan. So far, ONORC is enabled in 32 States/UTs  covering about 69 Grore beneficiaries (almost E6o/o NFSA population)  in the country.