Lok Sabha Question No. 446 (STARRED), answered on 2025-04-02
Subject: Commission to Ration Dealers
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: Shri Sunil Kumar

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

## LOK SABHA

STARRED QUESTION NO. 446

## TO BE ANSWERED ON 2ND APRIL, 2025

## COMMISSION TO RATION DEALERS

## f#446. SHRI SUNIL KUMAR:

Will the Minister of CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION be pleased to state:

- (a) whether the  Government proposes to  provide  honorarium to  the dealers of  Public Distribution  System across the country;
- (b) if  so, the details thereof and the time by which the said scheme is likely  to be implemented;
- (c) if  not, whether the Government proposes to  implement at least 'One Nation  One Commission' scheme considering the  financial  condition  of  the  said dealers to  ensure uniformity in commission earned by the dealers;
- (d) if  so, the details thereof;  and
- (e) whether the Governrnent proposes to  increase the commission and fix  a minimum commission rate for the said dealers in view  of  inflation  and if  so, the details thereon

## ANSWER

MiNISTER OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION AND MINISTRY OF NEW AND RENEWABLE ENERGy

(SHRI PEALHAD JOSHI)

(a) to (e): A  statement is' laid  on the Table of the House

STATEMENT  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (e)  OF  THE  STARRED QUESTION NO. 446 FOR ANSWER ON 02.04.2025 IN THE LOK SABHA.

(a) to (e): The Targeted Public  Distribution  System (TPDS) is operated under the joint responsibility  of the Central and the State/UT Governments. The operational responsibility including  issuance of licenses to Fair  Price  Shops (FPSs), supervision  and monitoring of the functioning  of Fair Price Shops etc., rest with  the concerned State/UT Government. As per sub-clause (7)  of  clause 9 of  the TPDS (Control)  Order, 2015, the State Government shall fix  an amount as the fair  price  shop owner's margin, which  shall be periodically  reviewed for ensuring sustained viability of the fair price shop operations.  As per sub-clause (9) of Clause 9, the State Government shall allow  sale of commodities other than the foodgrains distributed under the TPDS at the fair price shops to improve the viability of  the fair  price shop operations.

Fhe Central Governrient  has limited  role in determining the actual rate of fair price shop dealers' margin/ commission/ honordrium etc. The Central Government only provides the assistance to  States/UTs for meeting the expenditure towards intra-State mov6ment & handling of foodgrains and fair  price shop dealers' margin under the NFSA,  in accordance with  the provisions  of Food Security  (Assistance to State Governments) Rules, 2015, which inter-a]ia provides for  normg of  expenditure and pattern of  Central sharing. In  order to ensure viability  of Fair Price Shops, the n6rms of FPS Dealers margin were enhanced w.e.f. April,  2022 as per the details given  below:

I

| Category of States/UTs   | :::'"';:"=:i:,;:ii      |   Pre-revised | : Revised   |   Central share (in percentage) |
|--------------------------|-------------------------|---------------|-------------|---------------------------------|
| General Category         | Basic margin            |            70 | 90          |                              50 |
| General Category         | Additional margi ll I I |            17 | 21          |                              50 |
| Special category         | Basic margin            |           143 | 180 26      |                              75 |
| Special category         | Additional margin       |            17 |             |                              75 |

However, State Governments are free to nx  the actual rates. which can be higher than the norms specified in the rules. Central assistance will  be limited  to  the rates specified in the Rules or the actual average rates for the State as a whole, at which  the expenditure was actually incurred by the State Government, whichever is lower.