Monday 2 September 2013

Food Security Bill - Will it help?

In what way will this  Bill provide the Food Security to poors? 
Do we have shortage of grains and Agri produce? Or the problem is somewhere else?
As per the reports and pictures published last year,

millions of tons of grains are wasted due t0
- unavailability of storage facilities (As it gets wet due to rains etc, or gets damaged and /or eaten by rats etc..)
- Unavailability of distribution facilities

Age old PDS totally became defunc due to 
- lack of availability of grains etc. in the ration shops
- Ration shop owners selling the same stuff in open market for higher prices and nt providing it to card holders at lower prices

Looks like they have brought down the prices to ridiculously lower level..(Almost 1/4th or 1/5th of the market prices- As I understand old PDS had ration shops selling grains at 30% discount or so. Hence at 2/3rd of the market prices)

This adds to further more incentive for the shop owners to sell it in open market and not providing it to the deserving ones(Yellow card holders I guess)
By making it a ‘right to access to food’ .. I can't understand how it will help..
Probably a case can be filed against Ration shop owner by a poor (Yellow BPL card holder expecting him to hire a lawyer etc.) .. If these ration shop owners are stopped from selling the grains in open market at higher price(By making is a right to access to he quota for BPL card holder  these ration shop owners may simply opt out of the system). 

One other option that can be tried is to give the yellow card holders a smart card which can be topped up periodically (Say quarterly) where a person can buy  ONLY GRAINS at market price in any shop. (May be govt. can try this with lower quota(Say 10 Kgs per month instead of 25) and see .
As this may work better than giving the 25 Kgs as 1/3 rd of the price.
The jump in demand (And in business in turn) may result in automatic improvement in distribution and storage facilities..

The yellow card holder may try to work and earn for food on alternate days..
As anything that is free (or almost free too loses it's value in the eyes of a receiver)

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