The Indian Prime Minister recently announced an extension of the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) for an additional five years. The PMGKAY was introduced in 2020 amid the Coronavirus Pandemic, providing 5 kg free food grains to eligible ration card holders under the National Food Security Act, 2013 (NFSA). Initially intended to expire in December 2022, it has been extended until 2023 and now, for an additional five years.
Understanding PMGKAY and its Features
Introduced during the COVID-19 pandemic in 2020, the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) is aimed at offering 5kg free food grains to eligible ration card holders under the NFSA. This scheme was initially scheduled to end in December 2022 but was subsequently extended until 2023 and now, for an additional five years.
Since its inception, the government has designated 1,118 lakh metric tonnes of food grains from its principal procurement pool, costing an estimated Rs 3.9 lakh crore.
Details about National Food Security Act, 2013
The National Food Security Act, 2013 signifies a shift in approach towards food security from welfare to rights. It legally entitles approximately 75% of the rural population and 50% of the urban population to receive subsidized food grains under the Targeted Public Distribution System. It covers two categories of ration card holders: Antyodaya Anna Yojana (AAY) and Priority Households (PHH). The eldest woman aged 18 or older is generally the head of the household for issuing ration cards under the Act.
Under this act, AAY households receive 35 kg of food grains every month, regardless of family size. Meanwhile, Priority Households obtain food grains based on family size, with each member receiving 5 kg per month.
Merging PMGKAY and NFSA for Improved Distribution
In January 2023, The PMGKAY got integrated with NFSA, ensuring all rations for AAY and PHH families are cost-free. This merger removed extra provisions introduced during COVID-19 by including the free component of PMGKAY into the NFSA.
Impact of Extending PMGKAY
The extension of PMGKAY has both positive and negative impacts. On the positive side, it addresses immediate food security needs and boosts the rural economy by supporting local farmers. The scheme fosters social cohesion, promoting a sense of collective responsibility towards those in need.
However, the extension poses long-term fiscal and economic concerns, potentially affecting market dynamics and creating dependency among beneficiaries. Moreover, this move could lead to competitive populism among political parties, driving unsustainable policies.
Way Forward: Short-term and Long-term Solutions
Harnessing digital vouchers like e-Rupi for purchasing essential food items can ensure funds are utilized solely for buying nutritious food. Technology platforms can be developed that facilitate the distribution of excess food to those in need.
For the long term, investing in economic empowerment programs, such as skill development, job training, and entrepreneurial avenues, could be beneficial. Gradually phasing out subsidies while implementing other support systems can avoid sudden shocks to vulnerable populations and the economy.
In Sync with the UPSC Civil Services Examination
This discourse aligns with UPSC Civil Services Examination’s previous year questions related to the provisions under the National Food Security Act, 2013. For instance, one question asks about the replacement of price subsidy with Direct Benefit Transfer (DBT) and its impact on subsidies in India. Another question discusses the salient features of the National Food Security Act, 2013 and how the Food Security Bill has helped in eliminating hunger and malnutrition in India.
