Explain the factor responsible for the decline of PDS in recent years.
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Increase in Stock of unsold grains in ration shops due to poor quality
Unability of ration shops in selling the stock leads to piling up of massive stock of food grain with FCI
Unability of ration shops in selling the stock leads to piling up of massive stock of food grain with FCI
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The factors which are responsible for the decline of PDS are as follows:
1. PDS does not reach many poor households. It supplies only 15 percent of the total food grain consumption which makes the open retail market the primary supplier of food grain.
2. Food stored in FCO godowns does not reach poor people as much of it rots before it reaches the market or is eaten away by rats.
3. PDS dealers sometimes indulge in malpractices like selling grains in the open market to earn a profit, selling poor-quality grains at ration shops or irregular opening of shops.
1. PDS does not reach many poor households. It supplies only 15 percent of the total food grain consumption which makes the open retail market the primary supplier of food grain.
2. Food stored in FCO godowns does not reach poor people as much of it rots before it reaches the market or is eaten away by rats.
3. PDS dealers sometimes indulge in malpractices like selling grains in the open market to earn a profit, selling poor-quality grains at ration shops or irregular opening of shops.
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