New Delhi:(Page3 News Network)-The Department proposes to introduce a pilot scheme for direct transfer
of food subsidy under Targeted Public Distribution System (TPDS). Under
the proposed scheme, foodgrains will be issued by Food Corporation of
India at an appropriate cost near market price. The cash subsidy equal
to the difference in the appropriate cost and the present issue price
will be credited to the bank account of the beneficiary in advance to
enable the beneficiary to purchase the foodgrains at this cost. The
proposal does not involve dismantling the TPDS as foodgrains shall
continue to be distributed to the beneficiaries under TPDS through the
Fair Price Shops.
It is proposed to undertake the pilot scheme in six UTs, namely
Chandigarh, Puducherry, Andaman & Nicobar Islands, Lakshadweep,
Dadra & Nagar Haveli and Daman & Diu. The scheme is expected
to check leakages/diversion of foodgrains under TPDS and test the
feasibility of launch of the scheme in other States. The details of the
scheme will be finalized in consultation with Union Territories, etc.
This information was given by the Minister of State (IC) for Consumer
Affairs, Food & Public Distribution Prof. K.V.Thomas in a written
reply in theLok sabha today.