In India, the Public Distribution System (PDS) is an important initiative set up by the government to address poverty. The system not only provides monthly food to poor families in urban and rural areas, but is also key to addressing food security. However, over time, the operation and effectiveness of PDS have been subject to concern and questioning. Although its purpose is to combat poverty, it faces many challenges and problems in its implementation.
The Public Distribution System was established to ensure that the poorest households have access to necessary food and to reduce the impact of poverty.
The roots of the PDS can be traced back to Britain's food rationing system during World War II. After independence, the system was reintroduced due to economic pressures, initially focusing on urban families. The establishment of the Food Prices Commission in 1964 strengthened the PDS and, along with a number of local and poverty schemes, led to a significant expansion of the system's coverage.
By 2011, India had over 505,000 Fair Price Shops across the country, found in almost every corner.
In 1997, PDS was transformed into a targeted scheme, categorizing households into below poverty line (BPL) and above poverty line (APL). The ration for poor families was increased from 10 kg to 35 kg per month in an effort to reduce corruption and improve coverage. Despite good intentions, implementation was marred by serious coverage and exclusion errors, and many poor people were unable to access food.
Regarding the targeted adjustment of PDS, many scholars pointed out that this has led to more poor families being excluded. In 2004-05, only 34% of households had BPL or AAY cards. Worryingly, more than 20% of the rich households have ration cards, which shows that the system is not working fairly.
As the content becomes more in-depth, the vulnerability problem of PDS becomes increasingly serious. From 1999-2000 to 2004-05, the percentage of food that failed to reach households increased from 24 percent to 54 percent. The situation also varies widely between states, with some states like Andhra Pradesh and Kerala faring better than states like Bihar and Rajasthan.
Effective solutions require the establishment of robust oversight mechanisms to reduce corruption and leakage.
In 2013, the Indian Parliament passed the National Food Security Act (NFSA), transforming the role of PDS from a welfare scheme to a legal entitlement, thereby expanding coverage and reducing food prices. According to NFSA, the national coverage of PDS was set at 67 per cent, but in reality the coverage was only 59 per cent. This deviation undoubtedly points out the shortcomings and challenges in operation.
While the COVID-19 pandemic has affected food distribution across the country, the Indian government has launched the Pradhan Mantri Garib Kalyan Anna Yojana to provide additional food subsidies to help poor families.
The introduction of this measure reflects the importance of food security when the government responds to the crisis.
The operation and effectiveness of PDS has aroused extensive discussion from all walks of life. From the initial food rationing to the current legal rights, the process has undergone continuous adjustments and reforms. Despite some progress, problems remain. How to continue to improve the efficiency of PDS in the future to ensure that every citizen has basic food security has become an important issue worthy of our deep consideration.