In recent news, the Ministry of Consumer Affairs, Food and Public Distribution announced a revision to the PMKGAY (Pradhan Mantri Garib Kalyan Anna Yojana) allocation of rice and wheat across all 36 states and union territories. This update pertains to the remaining five months of 2022, spanning from May to September.
About the Pradhan Mantri Garib Kalyan Anna Yojana
The PMGKAY is one aspect of the larger Pradhan Mantri Garib Kalyan Package (PMGKP), which was designed to aid the country’s low-income population in their battle against Covid-19. Under the guidance of the Ministry of Finance, the scheme was launched for an initial three-month stint covering April, May, and June 2020. The original plan marked out provisions for 80 crore ration cardholders.
The scheme was subsequently extended until November 2020 and proceeded through four phases. Phase I and II operated from April to June 2020, and July to November 2020 respectively, while phase III ran from May to June 2021. The fourth – and current – phase of the PMGKAY spans from July to November 2021.
The PMGKAY: Purpose and Provision
The primary objective of the PMGKAY was to offer an extra 5 kg of grains – either wheat or rice – for free to each person covered under the National Food Security Act (NFSA) 2013. This would be in addition to the 5 kg of subsidized food grain dispensed through the Public Distribution System (PDS).
However, the updated version of the scheme has done away with one key component that was present in the 2020 version – the free-of-cost 1 kg pulses provided monthly to each household covered under the NFSA.
PMGKAY Expenditure and Finances
The estimated expenditure for the government during the five phases of PMGKAY is projected to be nearly Rs. 2.60 lakh Crore. In particular, the fifth phase of the scheme will involve an additional food subsidy of approximately Rs. 53344.52 Crore.
Significance and Challenges of the PMGKAY
The PMGKAY holds considerable importance in the current scenario. It is particularly relevant for daily wage earners and those who run small businesses in the informal sector – a section of the population that was hard-hit by job loss due to Covid-19-related lockdowns.
However, this beneficial scheme does face one significant hurdle. The list of beneficiaries under the National Food Security Act is based on data from the last census conducted in 2011. Unfortunately, given the recent increase in food-insecure individuals, many who require assistance may end up not receiving it due to outdated census information.