what is current status of public distribution system
Answers
Indian food security system, established by the Government of India under Ministry of Consumer Affairs, Food and Public Distribution is to distribute subsidized food and non-food items to India's poor. This scheme was first launched in February 1944, during the Second World War and was launched in the current form in June 1947. Major commodities distributed include staple food grains, such as wheat, rice, sugar and kerosene, through a network of fair price shops (also known as ration shops) established in several states across the country. Food Corporation of India, a Government-owned corporation, procures and maintains the PDS.
In coverage and public expenditure, it is considered to be the most important food security network. However, the food grains supplied by the ration shops are not enough to meet the consumption needs of the poor or are of inferior quality. The average level of consumption of PDS seeds in India is only 1 kg per person / month. The PDS has been criticised for its urban bias and its failure to serve the poorer sections of the population effectively. The targeted PDS is costly and gives rise to much corruption in the process of extricating the poor from those who are less needy. Today, India has the largest stock of grain in the world besides China, the government spends Rs. 750 billion ($13.6 billion) per year, almost 1 percent of GDP, yet 21% remain undernourished.Distribution of food grains to poor people throughout the country is managed by state governments.As of date there are about 500,000 Fair Price Shops (FPS) across India.
a. Public Distribution System (PDS) was established for the distribution of food grains among poor.
b. Presently, there are about 4.6 lakh ration shops in the country.
c. Ration shops also known as Fair Price Shops keep stock of food grains, sugar, kerosene oil for cooking. These items are sold to people at a price lower than the market price.
d. In the beginning the coverage of PDS was universal with no discrimination between the poor and non-poor.
e. Over the years, the policy related to PDS has been revised to make it more efficient and target oriented.
f. It is the most effective instrument of government policy over the years in stabilizing prices and making food available to consumers at affordable prices.
g. It averts widespread hunger and famine by supplying food from surplus regions of the country to the deficit ones.
h. It revises the prices of food grains in favor of poor household.
i. The declaration of minimum support price and procurement has contributed to an increase in food grains production and provided income security to farmers in certain regions.
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