Lok Sabha Question No. 3896 (UNSTARRED), answered on 2015-12-22
Subject: Implementation of NFSA
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: LADU KISHORE SWAIN, OM BIRLA, JAYSHREEBEN  PATEL, RADHESHYAM BISWAS, GOPALAKRISHNAN CHINNARAJ

## GOVERNMENT OF INDIA

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

## LOK SABHA

UNSTARRED QUESTION NO. 3896

TO BE ANSWERED ON 22 ND    DECEMBER, 2015

## IMPLEMENTATION OF NFSA

3896.

SHRI LADU KISHORE SWAIN: SHRI OM BIRLA: SHRIMATI JAYSHREEBEN PATEL: SHRI RADHESHYAM BISWAS: DR. C. GOPALAKRISHNAN:

Will  the  Minister  of  CONSUMER  AFFAIRS,  FOOD  AND  PUBLIC DISTRIBUTION miHkksDrk ekeys] [kk| vkSj lkoZtfud forj.k ea=h be pleased to state:

- (a) whether the Government is facing some hurdles in implementing the National Food Security Act (NFSA) in all the States;
- (b) if  so,  the  details  thereof  and  the  reasons  therefor  along  with  the steps taken to overcome these hurdles;
- (c) whether the Government proposes to provide any incentives to such defaulting States for effective implementation of the Act, if so, the details thereof;
- (d) whether it will be easy for the Government to check price rise after the full implementation of said Act; and
- (e) if  so,  the  details  thereof and the effective steps being taken by the Government to check rise in prices and black marketing?

## A N S W E R

## MINISTER OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION (SHRI RAM  VILAS PASWAN)

(a) and (b):  Main  responsibility  for  implementation  of  the  National  Food Security  Act,  2013  (NFSA)  rests  with  States/  Union  Territories  (UTs)  and inter alia includes identification of eligible households, ensuring delivery of foodgrains  upto  doorstep  of    fair  price  shops,  setting  up  of  grievance redressal  mechanism.  23  States/UTs  are  presently  implementing  the National Food Security Act, 2013 (NFSA) and foodgrains under the Act are being allocated to them based on the preparedness and identification of

beneficiaries  reported  by  them.  Besides,  proposals  of  Sikkim  and  Uttar Pradesh  for  allocation  of  foodgrains  under  NFSA  w.e.f.  the  month  of January,  2016  have  been  approved.  Remaining  11  States/UTs  have  not completed all the preparatory measures required for implementation of the Act.  Foodgrains  allocation  under  existing  Targeted  Public  Distribution System (TPDS) is continuing in these States/UTs.

Implementation  of  the  Act  is  reviewed  on  a  regular  basis  and necessary advisories are issued to States/UTs, wherever required. Various meetings/ conferences have also been held with the States/UTs to review status of implementation of the Act. This year, four such meetings - on 7 July, 1 September, 19 November (with North-East States) and 23 November,  2015  -  have  been  held  with  the  States/UTs.  During  such meetings/conferences, the points raised by States/UTs are clarified and the need for early implementation of Act and necessary strengthening of TPDS in  order  to  be  able  to  successfully  deliver  entitlements  in  a  rights-based approach under NFSA are emphasized.

- (c): There is no such proposal.

(d) and (e):  NFSA entitles upto 75% of the rural population and upto 50% of the urban population to receive foodgrains at subsidised prices of Rs. 3/2/1 per  kg  for  rice/wheat/coarse  grains  under  TPDS, thus  covering about  two thirds  of  the  population  of  the  country.  The  large  coverage  and  highly subsidized prices of foodgrains under the Act is likely to help in checking prices of foodgrains.

The steps taken by the Government to improve the availability and contain prices of food items are at Annexure.

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## ANNEXURE

## ANNEXURE  REFERRED  TO  IN  REPLY  TO  PARTS  (d)  AND  (e)  OF  UNSTARRED QUESTION NO. 3896 DUE FOR ANSWER ON 22.12.2015 IN THE LOK SABHA

## Step taken by the Government to improve the availability and to contain prices of essential food items

1. National  Consultation  Meeting with  Ministers  of  States/UTs  in-charge  of  Consumer  Affairs  and Food  held  on  7 th July,  2015  at  New  Delhi  to  discuss  steps  required  to  keep  prices  of  essential commodities, especially Pulses and onion under control.
2. Advisory to State Government issued to take strict action against hoarding & black marketing and effectively enforce the Essential Commodities Act, 1955 & the Prevention of Black-marketing and Maintenance of Supplies of Essential Commodities Act, 1980.
3. Regular  review  meeting  on  price  and  availability  situation  is  being  held  at  the  highest  level including  at  the  level  of  Minister,  Committee  of  Secretaries  (CoS),  Inter-Ministerial  Committee (IMC),  Price  Stabilization  Fund  Management  Committee  (PSFMC)  and  other  Department  level review meeting.
4. Measures  taken  to  improve  availability  by  incentivizing  production  through  higher  Minimum Support Price (MSP).
5. A  new  Plan  Scheme  titled  Price  Stabilization  Fund  (PSF)  has  been  implemented  for  regulating price volatility of agricultural commodities.
6. Export of onion is restricted through Minimum Export Price (MEP) and presently the MEP is USD 400 per MT w.e.f. 11.12.2015. Import of onion is allowed at zero duty.
7. Imported 2000 MT of onion from Egypt and China through MMTC under PSF scheme. As no demands from state were received, the onion disposed off through tender in open market.
8. Retail  sale  of  onion  was  undertaken  from  the  stocks  held  by  Small  Farmers  Agri-Business Consortium (SFAC)  and  National  Agricultural  Cooperative  Marketing  Federation  of  India  Ltd. (NAFED).
9. The stock limit in respect of onion has been extended by one more year i.e. up to 2 nd July  2016 under the Essential Commodities Act.
10. Export of all pulses is banned except kabuli channa and up to 10,000 MTs in organic pulses and lentils.
11. Zero import duty on pulses extended till 30.9.2016 except for chana and lentils.
12. Stock limit on pulses extended till 30.9.2016.
13. Imported 5000 MT of Tur from Malawi/Mozambique and allocated to States with a subsidy of Rs. 10 per Kg for retail sale to consumer.

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