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The Times of India, Mumbai, 09 Apr 2008
40% of poor denied benefits under PDS
Pradeep Thakur and Nitin Sethi
NEW DELHI: The government might have recently dismissed the Planning Commission and ORG-MARG reports on the public distribution system (PDS) as an old story but here is fresh evidence that the food safety net for the poor is full of holes.

The first auditory survey conducted by the Comptroller and Auditor General (CAG) on PDS has revealed that while 40% of beneficiaries were kept away from the scheme by denying them ration cards, 99% of those who availed the benefits reported they had not received foodgrains regularly.

The CAG's scathing report of the dismal condition of PDS comes on the heels of a review commissioned by the government which had pointed out that foodgrain for the poor was being siphoned off through more than 2 crore ghost-cards. Earlier, the ORG-MARG report had provided evidence that more than 90% of foodgrain going to the north-eastern states was being stolen while almost half of all the foodgrain for the entire country was being siphoned off.

But the government had recently in its defence claimed that it had worked to improve the system substantially. The CAG survey conducted in Manipur though makes the Centre's claims sound hollow. In the food deficient, insurgency-hit state which entirely depends on Central allocations to sustain its economy, while assessing the ground reality of the government's ambitious programme in north-east, CAG has found the foodgrain supply chain in tatters.

The findings of the 2007 survey paint a very disturbing picture on the extent of diversion of the heavily subsidised foodgrains. The report said beneficiaries in the state had received rice once in 10 months on an average during the period 2002 to 2005.

About 43% of the respondents complained of being overcharged by the Fixed Price Shops — rates varied between Rs 4 and Rs 8 per kg for the rice as against the prescribed end retail price of Rs 3 per kg as per the Antyodaya Anna Yojana scheme of PDS.

About 28% of the ration cardholders stated that they had not received any rice (a majority in Manipur consumes only rice) at all during the entire period of the last four years (2002 to 2005) while those who reported to have received some, the quantity was below 8 kg on an average a month against the sanction of 35 kg.




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