Significance of Public Distribution System in an Indian State - Uttar Pradesh

 
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International Journal of Management and Social Sciences Research (IJMSSR)                         ISSN: 2319-4421            1
Volume 3, No. 11, November 2014

 Significance of Public Distribution System in an Indian State -
                         Uttar Pradesh
Amit Kumar Gupta, PhD student, Department of Political Science, Guru Ghasidas University, Bilaspur
Dr. Anupama Saxena, Professor and Head, Department of Political Science, Guru Ghasidas University, Bilaspur

ABSTRACT                                                       security has four pillars such as Availability,
                                                               Accessibility, Utilization and Stability of food(FAO,
Public distribution system is instrument of policy             1996).
intervention for reducing poverty; Infant Mortality Rate,
and it provides subsidized food-grains (such as wheat and      In India, food security system mainly focuses on supply of
rice) to targeted poor households. There are two               food grains and this is distributed through the Public
contextual aspects in the article first the chronology of      Distribution System. The objectives of PDS are
PDS and its functioning at both national and state level,      maintaining price stability of essential commodities,
and secondly to the demographic structure and socio-           providing access to foods at affordable prices to the
economic conditions in UP. Within these two contextual         vulnerable people and to maintain minimum nutrition
aspects we have tried to understand how PDS is                 level to population. In the context of widespread poverty
significant in UP? This study is based on secondary data.      ratio, malnutrition and inflation in food prices, access to
The finding of study is that the implementation of PDS is      basic food at reasonable prices remains an important
significant in most populous state of India during the era     policy intervention(Swaminathan, 2003).India’s public
of economic development.                                       distribution system now has a significant impact on rural
                                                               poverty(Dreze & Khera, 2013).
Keywords:
Public distribution system, food insecurity, poverty,          HISTORICAL PERSPECTIVE:
literacy rate, Below Poverty Line(BPL), India, Uttar
Pradesh                                                        Public Distribution System was started during British
                                                               government in 1939 but targeted public distribution
INTRODUCTION:                                                  system was launched in 1997 for distributing subsidized
                                                               food-grains such as wheat, rice particularly to poor
Food insecurity is very challenging problem across the         people. The historical perspective could be understood
world, nearly 870 million people suffer from                   indifferent distinct phases discussed below.
undernourishment globally (or one in eight of the people
in the world – did not consume enough food to cover their      The first phase, from 1939-60 was introduced by the
minimum dietary energy requirements.), particularly in         colonial government in 1939 as a war-time rationing
India 217 million people are undernourished, which             measure to ensure food-grains availability and distribution
constitutes 17.5 percent of national population in 2010-       among the urban population of Bombay (now, Mumbai).
12(FAO, WFP and IFAD, 2012). Every country is trying           It was later extended to six other cities and a few regions
to tackle these problems. Indian Parliament also appeared      (e.g., Malabar in Kerala). It ensured some degree of
very sensitive and enacted to ‘National Food security Act      equitable distribution of food-grains among urban
(NFSA)’ on 10 Sep. 2013. This act provides legal               consumers in the context of rising prices(Swaminathan,
entitlement to the poor households for receiving the           2003). Before 1960s distribution of food-grains through
adequate quantity of quality food-grains at affordable         PDS was generally dependent on imports of food-grains.
prices to live a life with dignity (The Gazette of India,
2013). Food security for a country means sufficient            The second phase, from 1960-78 was one which saw
quantity of essential commodities produced, stored             major organizational changes. Specifically, in response to
properly and made available to all the people, especially      the food security, and setting up of Agricultural Prices
the poor people.The broader concept of food security is        Commission and the Food Corporation of India (FCI) in
reflected in the World Food Summit (1996) definition,          order to strengthen domestic procurement and storage. By
“food security, at the individual, household, national,        the 1970s, PDS had been introduced as a universal scheme
regional and global levels [is achieved] when all people, at   for the distribution of cheap food at the reasonable prices
all times, have physical and economic access to sufficient,    and a component of the strategy to alleviate
safe and nutritious food to meet their dietary needs and       poverty(Swaminathan, 2003).
food preferences for an active and healthy life.”A food

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Volume 3, No. 11, November 2014

The third phase, from 1978-91 is marked by large scale         Characteristics of targeted PDS have been discussed
expansion of the PDS, domestic procurement and storage.        below:
In the 1990s, it was modified such as Revamped Public
Distribution System. It was structural adjustment              a)       Identification of eligible households under
programme. It means, PDS was introduced only for poor          existing TPDS-
people belonging to poorest areas such as hilly and            TPDS gives emphasis to provide benefits to the poorest
inaccessible areas. They received food-grains at the lowest    sections of the society. It uses income poverty line to
prices.                                                        demarcate ‘poor’ and ‘non-poor’ households. Households
                                                               were classified under Below Poverty Line (BPL) and
The fourth phase, from 1991 up to present-in 1997,             Above Poverty Line (APL).The BPL beneficiaries that are
Revamped (universal) Public Distribution System was            covered under TPDS were identified through a detailed
replaced with a Targeted Public Distribution System            process when TPDS was launched. The Planning
(TPDS) with the objectives of the economic liberalization.     Commission calculated state-wise estimated of the total
                                                               number of BPL beneficiaries that would be covered under
TARGETED             PUBLIC          DISTRIBUTION              TPDS. Each state government was entrusted with the
SYSTEM                                                         responsibility of identifying eligible BPL households on
                                                               the basis of inclusion and exclusion criteria. Such families
                                                               were entitled to receive a BPL ration cards but APL are
At the World Food Summit in 1996, India signed along           not identify and any household above the poverty line
with 185 countries a deceleration making a commitment          could typically apply for an APL ration card.
to ensure food security for all(World Food Summit, 1996).
The Food Summit set up concrete goals for reducing the
                                                               The Antyodaya Anna Yojana (AAY)
number of hungry and malnourished persons in the world         The AAY scheme was launched in December 2000 after
by one-half by 2015(World Food Summit, 1996).After             the declaration of prime minister for one crore poorest of
that the during the Chief Ministers’ Conference held in        the poor households. AAY contemplates identification of
New Delhi in July 1996 on Basic Minimum Services               the poorest of the poor families from amongst the BPL
made recommendations for concrete efforts to streamline        families covered under TPDS within the State.
the Public Distribution System and accordingly it was
renamed as Targeted Public Distribution System (TPDS)          b)       Entitlement under TPDS
in June 1997.The PDS as it was being implemented earlier       Eligible beneficiaries are entitled to subsidized food grains
had been criticized for its urban bias and its failure to      such as wheat and rice.
serve effectively the poorer sections of the
population(Planning Commission, GOI, 2002-07, p.               c) Centre- State control
368).It was also criticized for its negligible coverage in     The Centre and state government both share responsibility
the states with the highest concentration of the rural poor    for the functioning and operation of PDS. The Central
and lack of transparent and accountable arrangements for       government is procuring or buying food-grains – mainly
delivery(Planning Commission, GOI, 2002-07, p.                 rice and wheat – from farmers, traders, rice-millers and
368).TPDS aims to provide subsidized food-grains to the        others at a minimum support price and its sells it to states
poor households through a network of Fair Prices Shops         at central issue prices (CIP). The Size of BPL population
(ration shops). Food-grains such as rice and wheat that are    and their entitlement of subsidized food-grains both
provided under TPDS are procured from farmers, traders,        decided by the central government. The Centre also
rice-millers and others at a minimum support price and it      allocates the food-grains to the each state on the basis of
sells (allocate) to states at central issue prices (CIP) and   the total number of poor in state. After that, each state
delivered to the ration shops where the beneficiary            government has responsibility for delivering the allocated
purchase food grains according to his/her entitlement at       food-grains from depots to each ration shop or fair price
subsidized prices. Thus, TPDS intends to target the            shops. These essential commodities are distributed to
subsidized provision of food grains to ‘poor in all areas’     consumers at ration shops. In 2013, there were a total of
unlike RPDS, which laid stress on ‘all in poor areas’. The     0.52 million fair-price shops in the country. Private agents
center and states share the responsibilities of identifying    and co-operative ran these shops and a few were state-
the poor, procuring food-grains and delivering food-grains     owned. There were a total of 243.72 million families with
to beneficiaries.                                              ration card in the country and, on average; one fair price
                                                               shop served 473 ration cards(Department of Food and
                                                               Public Distribution, 2014)

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International Journal of Management and Social Sciences Research (IJMSSR)                               ISSN: 2319-4421       3
Volume 3, No. 11, November 2014

Table 1.1: Timeline of PDS: 1939s to present                  rural population as per the 2011 census. According to the
Evolution of                                                  2011 Census, UP also has the largest rural population in
              Timeline Details
PDS                                                           India. UP is also 4thtop state by 20.7 percent Scheduled
                        Launched as general entitlement       Caste (SC) population as per the 2011 census and 0.6
PDS           1939                                            percent population is Scheduled Tribe (ST).
                        scheme
                        PDS was made universal for
RPDS          1990      poorest areas such as in hilly        Literacy Rate: Chart1.1
                        and inaccessible areas
TPDS          1997
                        PDS was revamped to target                             Litracy Rate in % in UP
                        poor households
Antyodaya               Scheme launched to target the                            100.00%
              2000                                                                80.00%

                                                                  Chart 1.1
Anna Yojana             poorest of the poor
                                                                                  60.00%
PDS Control             Government notified this Order                            40.00%
              2001
Order                   to administer TPDS                                        20.00%
                        A case in Supreme Court                                    0.00%
PUCL       vs
                        contending that                                                       Liter     Liter     Liter
Union     Of 2001
                        “right to food” is a fundamental                                       acy       acy       acy
India                                                                                         rate       rate     rate
                        right
National                                                                                      Male      Fema      pers
                        Act to provide legal right to                                           s         les     ons
Food          2013
                        food to the poor
Security Act                                                                  Uttar Pradesh   79.24%    59.26%   69.72%
(Balani, 2013)

                                                              Sources: provisional census, India, 2011
PUBLIC DISTRIBUTION                     SYSTEM         IN
UTTAR PRADESH                                                  Literacy rate in UP is 69.72 percent of which 79.24 per
                                                              cent male and 59.26 per cent female(Census 2011). All
•        Profile of Indian State Uttar Pradesh                details have been discussed in chart 1.2(Census 2011).The
Uttar Pradesh is the most populous state of country. With     literacy rate data of UP indicate that 30.28 per cent of the
nearly one-sixth of the total population or 19.95 crore       total population of UP is not literate till now (Census
people (that is 16.49 percent of total Indian population).    2011). 1 When we look at the female literacy rate, we find
The sex ratio is 908 females per thousand males as            that 40.74 per cent females are illiterate (Census 2011). If
compared to India’s 940 per thousand males. The               we compare illiteracy rate of female with that of male
population of 0-6 age group is 2.97 crore (14.90 per cent)    (20.76) in UP, we get that illiteracy rate of female is
in Uttar Pradesh (Census 2011).                               almost double than that of male(Census 2011).

The state was created on 1 April 1937 as the United           Economic profile and reduction of poverty ratio in UP:
Provinces with the passing of the States Reorganization       The economic growth rate of UP is 5.20 per cent and per
Act and was renamed Uttar Pradesh in 1950. Lucknow is         capita income is 19,512/- in 2013-14 at the constant prices
the capital of Uttar Pradesh and Kanpur is the economic       and economic growth rate of India is 4.74 per cent and per
and industrial capital of Uttar Pradesh. On 9 November        capita income is Rs. 39,904/- at constant prices(CSO,
2000, a new state, Uttarakhand, was carved out from the       2014) 2.The average Gross State Domestic Product
mountainous Himalayan region of Uttar Pradesh. The            (GSDP) is 6.72 per cent of UP and India’s 7.61 per cent
state is now organized into 71 district, 312 sub-district,    from 2005-06 to 2013-14. Along with per capita Net
648 Statuary towns and 267 census town and the total no.      Gross State Domestic Product (GSDP) of UP is 3.42 per
of towns is 915 and villages is 1.06 lakh(Government of       cent and India’s 2.70 per cent in 2013-14(CSO, 2014).
Uttar Pradesh, 2014).The state has a population               Average per capita Net GSDP of UP is 4.49 per cent and
comparable to Brazil. Only four countries China, USA,         India’s 5.75 per cent from 2005-06 to 2013-14(CSO,
Indonesia and Brazil have a population higher than that of    2014). The average of revenue receipts as a ratio to
Uttar Pradesh. With an area of 240,928 square km and
population density of 828 people per square kilometer, UP
is also one of the densest states in the country. Over the    1
last decade, the population of the state has increased by     The data has been taken from provisional census 2011.
over 20.9 percent and it ranked 14th in the country. Out of   2
19.95 crore population of the state, nearly 15.54 crore(78     Directorate of Economics and Statistics for state
percent) of population lives in rural areas across nearly     governments; CSO for all India; Released on 1st March,
1.06 lakh villages and it shares 18.6 percent of India’s      2014; Estimates from 2004-05 to 2010-11 have been
                                                              discussed with States DSE

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International Journal of Management and Social Sciences Research (IJMSSR)                                  ISSN: 2319-4421              4
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GSDP of UP is 18 per cent from 2004-08 to 2010-               Commission, 2011-12). In Uttar Pradesh, The percentage
13.(Reserve Bank of India, 2014) 3.                           of persons BPL in 2011-12 has been estimated as 29.43
                                                              percent (598.19 lakhs) of total population. Out of which
Table 1.2:                                                    30.40 percent (479.35 lakhs) in rural areas, 26.06 percent
                               Uttar                          (118.84 lakhs) live in urban areas, i.e. with income that is
                                             All India
                               Pradesh                        not sufficient to consume the required minimum number
Growth Rate(2004-05)                                          of calories.
                           5.40%             7.47%
At constant prices
Growth Rate(2013-14)                                          Year wise Estimated Poverty in Uttar Pradesh and
                           5.20%             4.74%            India
At constant prices
Per CapitaIncome(2004-05)
                           Rs. 12,950/-      Rs. 24,143/-     Table 1.3:(in per cent)
At constant prices
Per CapitaIncome(2013-14)                                     Years          Uttar Pradesh                India
                           Rs. 19,512/-      Rs. 39,904/-                    Rural     Urban      Total   Rural      Urban      Total
At constant prices                                            2004-          42.7      34.1       40.9    42         25.5       37.2
Average gross GSDP growth                                     05
                           6.72%             7.61%
(2005-6 to 2013-14), %                                        2009-          39.4     31.7        37.7    33.8       20.9       29.8
Net GSDP per capita growth                                    10
                           4.49%             5.75%            2011-          30.4     26.06       29.4    25.7       13.7       21.9
(2005-06 to 2013-14), %                                       12
Food inflation rate                                           Sources: Population as on 1st March 2005 has been used
                               ---           10%              for estimating number of persons; Press note poverty
at national level in 2010
                                                              estimates 2009-10(Plannig Commission, 2009-10); Press
Increase in revenue receipts                                  note poverty estimates 2011-12.(Planning Commission,
per annum (2004-8 to 2010- 18               ----              2011-12)
13) %
Reduction in poverty HCR                                      The Proportion of malnourished children under three
                               8.3          7.9
(2009-10 to 2011-12), %                                       years of age:
Source: Row 1 and 2, Averages calculated from tables on
GSDP at constant prices and per capita NSDP, Directorate      Chart 1.2:(In percentage)
of Economics and Statistics for state governments, and                       60
CSO for all India (data based on 2004-05 base line);                         50
Column 3 & 4, Estimates based on data on revenue
                                                                             40
                                                              Chart 1.2

receipts and expenditure in ‘State Finances: A Study of
Budgets,’ Reserve Bank of India (years 2014). Percentages                    30
are approximate because some year’s figures are based on                     20
budget estimates not actual receipts/expenditure; Column                     10
5, Tendulkar Committee estimates of Population below                          0
Poverty Line, Planning Commission 2009-10 and 2011-                                                                         underwei
                                                                                              Stunting     wasting
12. Food inflation data has been taken from(Chand,                                                                            ght
Gulati, & Kavery, 2011).                                                  Uttar Pradesh         52           20               42
Despite the better growth rate of UP, the percentage of                   India                 45           23               40
below the Poverty Line (BPL) population in 2011-12 has        Sources of Chart 1.2:(International Institute for Population
been estimated as 25.7 percent in rural areas, 13.7 percent   Sciences (IIPS) and Macro International, 2007)
in urban areas and 21.9 per cent (around 27 crore
population) for the country as a whole(Planning               The proportion of malnourished children under three years
Commission, 2011-12). The respective ratios for the rural     of age who are stunting (Height-for-age) 52 percent,
and urban areas were 41.8 percent and 25.7 percent and        wasting (Weight-for-height) 20 per cent and underweight
37.2 percent for the country as a whole in 2004-05            (Weight-for-age) 42 per cent, in Uttar Pradesh which is 45
(Plannig Commission, 2009-10). It was 50.1 percent in         per cent, 23 per cent and 40 per cent in India, respectively.
rural areas, 31.8 percent in urban areas and 45.3 per         India States Hunger Index Score (2008)
cent for the country as a whole in 1993-94(Planning
                                                              Table: 1.4-
3
  Estimates based on data on revenue receipts and                                     Rank                                     Score
expenditure in ‘State Finances: A Study of Budgets,’            Uttar Pradesh         9th out of 17 major States of            22.17
Reserve Bank of India (years 2014). Percentages are                                   country
approximate because some year’s figures are based on            India                 66th out of 88                           23.31
budget estimates not actual receipts/expenditure

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Volume 3, No. 11, November 2014

The data has been taking from (Menon, Deolalikar, &            energy for healthy living that is 2400 kcal in rural areas
Bhaskar, 2008)                                                 and 2100 kcal in urban areas (CSO; Ministry of Statistics
                                                               and Programme Implementation, 2013).
The Indian States Hunger Index score of UP is 22.17 and
ranked 9 out of 17 states. India’s score is 23.31and Global
Hunger Index score is 23.7, which ranks it 66th out of         ABOUT TPDS IN UTTAR PRADESH
88countries (Menon, Deolalikar, & Bhaskar, 2008). This
indicates continued poor performance of India for
reducing hunger. The recent Global Hunger Index Report         TPDS is a central scheme and implemented by state
2013 puts India at 63rd rank and score is 21.3. It places      agencies. Targeted PDS has been started in 1997 in Uttar
India among a group of countries with ‘alarming’ level of      Pradesh after guidelines of the Indian Government. It was
huger, figuring at the bottom of the heap, below China, Sri    started after replacement of the Revamped Public
Lanka, Pakistan and several in sub-Saharan Africa(Time         Distribution System. In UP, the supply and distribution of
of India, 2014)                                                essential commodities (Wheat, Rice, Kerosene and Sugar)
                                                               are done under the guidelines of the Government of India.
Uttar Pradesh and India’s Infant Mortality Rate                That guidelines have been incepted from 2001
(2009-11)                                                      Order(Department of Food and Public Distribution, 2001),
                                                               it is notified under the Essential Commodities Act, 1955,
Chart 1.3:                                                     Section(3) that has authorizes the Governor of Uttar
                                                               Pradesh to act in power to ensure the maintenance of

               per thousand live births                        storage and distribution of food-grains and other essential
                                                               commodities timely at appropriate prices. This would be
                                                               called as Uttar Pradesh Scheduled Commodities
                        70
                        60                                     Distribution (Extension) Order-2004(Government of Uttar
                        50
   Chart 1.3

                                                               Pradesh, 2004) which will cover the whole State. The
                        40                                     whole TPDS will function accordingly. A total of 52.84
                        30
                        20                                     lakh metric tonnes of food-grains (wheat and rice) is
                        10                                     allotted to Uttar Pradesh. Currently, there are 74,056 fair
                         0
                               Person   Person   Person        price shops (61,044 in rural areas and 13,012 in urban
                                                               areas)(The Hindu, 2013). Through which BPL, AAY and
                               2009     2010     2011          Annapurna and APL schemes are running. In UP, BPL
               Uttar Pradesh    63       61       57           families are identified as 106.79 Lakh by Government of
                                                               India. Out of which 40.945 Lakh families are identified as
               India            50       47       44           poorest of the poor and 65.845 families as BPL
                                                               families(Food and Civil Suplies Department). Allocation
[Source: (Economic Survey, 2012-13), A125; Infant              of food-grains to 335.88 lakh Above Poverty Line (APL)
mortality rates for 2009, 2010 and 2011 in respect of Uttar    families is made depending upon the availability of food-
Pradesh and India and based on three year period 2007-09,      grains in the central pool and past off take. Presently, the
2008-10 and 2009-11 and Estimate of Morality                   allocation of food-grains to APL families ranges 10 kg per
Indicators,(Census 2011); Infant Mortality Rate is defined     family per month at Rs 6.60 a kg. BPL card holders are
as the infant deaths (less than one year) per thousand live    allocated 20 kg wheat & 15 kg rice. 10 kg wheat & 25 kg
births.]                                                       rice are issued to AAY card holders in Lucknow,
                                                               Faizabad, Devipatan, Basti, Allahabad, Varanasi,
From chart 1.3, it is very clear that till 2011, 57 children   Mirzapur, and Azamgarh but 15 kg wheat & 20 kg rice are
died before achieving the age of 5 at every thousand live      given to AAY card holders in Meerut, Saharanpur,
births in UP which was just slightly less than 63 before       Moradabad, Agra, Kanpur, Jhansi and Chitrakut. BPL
two years in 2009. It means the grim scenario. After this      beneficiaries have to pay Rs. 4.65 per kg for wheat and
whosoever lives, out of them 42 per cent are underweight       Rs. 6.15 per kg for rice; for AAY families, the rates are
and 52 per cent undersized and 20 per cent do not have         Rs. 2 per kg for wheat, Rs. 3perkg for rice. In addition,
weight according to their height (Chart 1.2). For which        BPL and AAY cardholders are given 700 grams of sugar
scarce or less accessibility of quality food to lactating      per unit per card at the rate of Rs. 13.50 a kilogram.
mothers is counted as a very frequent reason. It is very
evident that PDS needs to be made robust which can be
very instrumental in tackling hunger and malnourishment
and reducing the IMR (Chart 1.3)in the whole country,
especially in UP, the home for the largest community of
poor (table 1.3) and population in India. This can meet
the minimum per capita basic requirement of dietary

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Volume 3, No. 11, November 2014

Table 1.5: Number of beneficiaries and entitlements in Uttar       last three year(Balani, 2013).Chart 1.4 presents the total
Pradesh
                                                                   allocation, off-take and off-take percentage of rice and
                                                                   wheat from 2002-03 to 2012-13.
Catego Number of Prices         Entitleme    Prices   Entitlem
ries   beneficiari Rs.          nt of        Rs.      ent     of      •   The off-take (lifting) of food-grains has increased
       es ( Lakh (For           Wheat        (For     Rice                significantly in relation to the total amount of food-
       families) wheat)         (kg/famili   Rice)    (kg/famili          grains allotted to states over the last 11 years from
                                es)                   es)                 26.80 % in 2002-03 to 90.40 % in 2012-13, which
AAY      40.945        2.00     10 / 15 kg   3.00     25 / 20             was to 94.20 % in 2010-11.
                                                      kg              •   This off-take remained very less, 25.20% to
BPL     65.845       4.45    15kg            6.15     20 kg               36.80% from 2002-03 to 2005-06 respectively
                                                                          (Mulayam Singh regime)whereas the allotted
APL     335.884      6.60    10 kg           8.45     -------
                                                                          amount of food grains was between 12, 214.66 to
Total   444.267              ------                                       10, 979.25 thousand tonnes for the same period.
(Food and Civil Suplies Department)
                                                                     •    After change in political regime, off-take
                                                                          percentage rose to 54.00% in 2006-07 up to 94.20
The total number of FPSs is 74,056 (61,044 in rural areas
                                                                          % in 2010-11 but based on the last three years
and 13,012 in urban areas) in UP (The Hindu, 2013),
                                                                          average consumption of state, there was decline in
which distribute a total 52.84 lakh metric tonnes of food-
                                                                          the amount of allotment which remained in
grains (wheat & rice) to the 444.267 lakh beneficiaries of
                                                                          between 8320.38 to 6948.95 thousand tonnes.
TPDS are at the center of the functioning of the TPDS.
Allocation, Offtake and Offtake percentage of rice and
                                                                   The Share of purchase from the PDS in consumption
wheat under TPDS in Uttar Pradesh to the APL, BPL
                                                                   of rice and wheat Uttar Pradesh and all India
and AAY
                                                                   Table 1.6:                (In per cent)
Chart 1.4
[Allocation and Off-take (In thousand tonnes)]                              Rice                     Wheat
                                                                            2004-05     2009-10      2004-05    2009-10
                                                                            Rural Urban Rural Urban Rural Urban Rural Urban
         Allocation, Off-take and Off-                             Uttar ----- ----- 17.6 7.8        ---- ----- 6.8 7.6
                                                                   Pradesh
         take % of food-grains in UP                               India 13       11    23.5 18      7.3 3.8    14.6 9
   15,000.00                                        100.00%        Sources: NSS 66th round data; Public Distribution System
                                                    80.00%         and other sources of Households’ consumption
   10,000.00                                        60.00%
    5,000.00                                        40.00%
                                                    20.00%         The percentage share of PDS in Rice consumption rose
        0.00                                        0.00%          almost double to 23.5% in 2009-10 from 13% in 2004-05
                                                                   in rural India and in urban India it went up to 18% in
                                                                   2009-10 from just 11% in 2004-05. In 2009-10, in rural
                                                                   UP its percentage share was 17.6 whereas in urban UP
                                                                   only 7.8% people purchased rice for their consumption
           Allotment          Off-take        % Off-take           through PDS. The percentage share of PDS in Wheat
                                                                   consumption rose two times to 14.6% in 2009-10 from
(Department of Food and Public Distribution, 2014)                 7.3% in 2004-05 in rural India and in urban India it
                                                                   increased more than two and half times to 9% in 2009-10
TPDS is operated under the joint responsibility of the             from 3.8% in 2004-05.
Central and the State/Union Territory (UT) Governments.
Central Government is responsible for procurement,                 CONCLUSION:
allocation and transportation of food-grains up to the
designated depots of the Food Corporation of India. The            Objectives of TPDS include providing subsidized food-
operational responsibilities for allocation and distribution       grains (such as rice and wheat) to the poor households
of food-grains within the States/UTs, identification of            through a network of Fair Prices Shops (ration shops).
eligible Below Poverty Line (BPL) families, issuance of            The finding of this study is as follows:
ration cards to them and supervision over and monitoring              • Utter Pradesh is the most populous state of country
of functioning of FPSs rest with the concerned State/UT                   and being 69.72 per cent literacy rate, female are
Governments. The allocation to a state changes every year                 illiterate almost double than that of male’s illiterate.
on the basis of the state’s average consumption over the

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International Journal of Management and Social Sciences Research (IJMSSR)                      ISSN: 2319-4421            7
Volume 3, No. 11, November 2014

  •    On the one side, the economic growth rate of UP is     [8] Department of Food and Public Distribution.
       5.20 per cent in 2013-14 at the constant prices. On         (2014). Monthly food grains bulletin.
       the other side, due to the low income approximately    [9] Dreze, J., & Khera, R. (2013, November 13). Rural
       6 crores people are poor, in which only 4.79 crores         Poverty and the Public Distribution System.
       people belong to village.                                   Economic & Political Weekly, XLVIII(45 & 46).
  •    From chart 1.3, it is very clear that till 2011, 57    [10] Economic Survey. (2012-13). STATISTICAL
       children died before achieving the age of 5 at every        APPENDIX : ECONOMIC SURVEY 2012-2013.
       thousand live births in UP which was just slightly     [11] FAO. (1996). Rome Declaration on World Food
       less than 63 before two years in 2009. Poverty              Summit.
       ration in state also decreased (around 8.3 per cent)   [12] FAO, WFP and IFAD. (2012). The State of Food
       during this period, i.e. from 37.7 per cent in 2009-        Insecurity in the World 2012. Economic growth is
       10 to 29.4 per cent in 2011-12.                             necessary but not sufficient to accelerate reduction
  •    On the one side, food inflation has been come up            of hunger. Rome: FAO.
       biggest problem to the country after 2008, which       [13] Food and Civil Supplies Department. (n.d.).
       reached around double digit in 2010. Due to low        [14] Government of Uttar Pradesh. (2004). Government
       income, a poor people in the lowest income quartile         Order. Food and Civil Supplies Department, Uttar
       spend nearly 65 per cent of their total expenditure         Pradesh.
       on food commodities                                    [15] Government of Uttar Pradesh. (2014). Retrieved
  •    Government of India gives food subsidy around               February            24,         2014,          from
       90,000 crores at the national level.                        http://upgov.nic.in/upstateglance.aspx
  •    Total allocation of food-grains was 72.68 lakhs in     [16] International Institute for Population Sciences
       2012-13 tonnes through FCI to Uttar Pradesh for             (IIPS) and Macro International. (2007). National
       APL, BPL and AAY. While off-take of food-grains             Family Health Survey (NFHS-3) 2005-06: India:
       was 65.68 lakhs tonnes of allocated food-grains in          Volume I. Ministry of Health and Family Welfare.
       UP. That was 90.40 per cent off-take of allocated           Mumbai: IIPS.
       food-rains.                                            [17] Menon, P., Deolalikar, A., & Bhaskar, A. (2008,
                                                                   October 14). The Indian State Hunger Index:
This study is based on secondary data. The finding of              Comparisons of Hunger Across States.
study is that better implementation of PDS become             [18] Planning Commission. (2009-10). Press Note on
significant in most populous state like UP.                        Poverty Estimates. Government of India, New
                                                                   Delhi.
                                                              [19] Planning Commission. (2005). Performance
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                                                                   Evaluation of Targeted Public Distribution System.
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  [1] Balani, S. (2013). Functioning of the Public                 Poverty Estimates. New Delhi: Government of
      Distribution System. PRS Legislative Research.               India.
  [2] Census 2011. (2011). Provisional Population             [21] Planning Commission, GOI. (2002-07). Tenth Five
      Totals: Uttar Pradesh Series 10. Director of Census          Year Plan. Vol. II.
      Operation Uttar Pradesh.                                [22] Reserve Bank of India. (2014). State Finances: A
  [3] Chand, R., Gulati, A., & Kavery, S. P. (2011).               Study of Budgets of 2013-14.
      Managing Food Inflation in India: Reforms and           [23] Swaminathan, M. (2003, Sep. - Oct.). Strategies
      Policy Option.                                               towards Food Security. JSTOR, 31(9/10), 59-60.
  [4] CSO. (2014). Directorate of Economics and               [24] The Gazette of India. (2013). The National Food
      Statistics for state governments, CSO for all India.         Security Act, 2013. Ministry of Law and Justice.
  [5] CSO; Ministry of Statistics and Programme               [25] The Hindu. (2013, September 01). In Uttar Pradesh,
      Implementation. (2013). SAARC Development                    a cleaning up act.
      Goals: India Country Report 2013 Statistical            [26] Time of India. (2014). Retrieved from
      Appraisal.                                                   http://timesofindia.indiatimes.com/home/lok-sabha-
  [6] Department of Food and Public Distribution.                  elections-2014/news/Hungry-for-votes-but-no-neta-
      (2001). The Public Distribution System (Control)             to-fix-malnutrition-
      Order, 2001.                                                 problem/articleshow/33714275.cms
  [7] Department of Food and Public Distribution. (2014,      [27] World Food Summit. (1996). Rome Declaration on
      03 31). Index.                                               World Food Summit. Rome.

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