Shouldn't the public distribution system (PDS) be dismantled?

GN Bureau | March 17, 2010



The supreme court-appointed central vigilance committee has confirmed, once again, what is widely known: the entire PDS system has collapsed. Various corrupt practices like largescale diversion of foodgrain and cooking oil, blackmarketing, bogus card holders etc have completely paralysed this welfare scheme devised to help the poor and the needy. Most of Rs 28,000 crore that the central government gives to the states every year by way of subsidy is going down the drain.

For quite sometime now, the planning commission and other thinktanks have been suggesting that the entire PDS system should be dismantled. Instead, the subsidy amount be given directly to the beneficiaries to buy ration from the open market by way of food coupons or direct transfer of cash to their bank accounts. Isn't it time to switch to this system? There may be certain shortcomings in this system, like inadequate reach of banks for example, but at least we will know the subsidy money has reached the right people! 

Comments

 

Other News

Development paradox: Falling poverty miracle and an inequality problem

India’s reduction in poverty over the past decade is a development achievement of considerable significance. The World Bank’s April 2026 ‘India Development Update’ estimates that the share of Indians living below the international extreme-poverty line of $3.00 per person per day i

In Arunachal, a river we call mother

In Arunachal Pradesh, the Siang is not just a river. For many of us, especially the Adi people, it is part of our family. Our grandparents fished in it. Children learned to swim in it. Our farms drink from it. When someone says a huge dam will be built on it, we do not hear the word "project".

A new retelling of the Mahabharata delves into key moments

In a time when every decision carries consequences and questions of ambition, power, loyalty, identity and moral choice continue to shape our lives, Dr. Arun Krishnan’s new book, ‘Mahakshana’ (Penguin India) offers a strikingly relevant retelling of the Mahabharata.  

Cabinet approves viability gap funding to develop grid-scale energy storage systems

The Union Cabinet, chaired by PM Narendra Modi, has approved the Viability Gap Funding (VGF) Scheme for Development of Grid-Scale Energy Storage Systems, with a total financial support of Rs.14,500 crore for the period FY 2026-27 to FY 2030-31. The scheme aims to support the development o

Cabinet creates a pathway to absorb Agniveers in Defence Forces

An objective assessment in terms of organisational requirements and operational efficiency has brought out the outstanding performance of Agniveers in terms of skills, motivation levels, physical fitness and technological prowess. As envisaged earlier, based on merit, 25% of Agniveers will be offered reg

Modi inaugurates, lays foundation stone of Pune Metro projects

Prime minister Narendra Modi inaugurated and laid the foundation stone for Pune Metro projects worth around ₹21,800 crore on Tuesday through video conferencing. Addressing the gathering on the occasion, the PM extended warm Diwali greetings to the people of Pune and Maharashtra and remarked that f

Upcoming Conferences



-->

Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter