Govt releases Rs 93,894 cr as food subsidy so far this fiscal

Government has released Rs 93,894 crore so far this fiscal by way of food subsidy out of annual allocation of Rs 1,10,500 crore and there is no proposal for reduction in food subsidy, Parliament was informed today.
In a written reply to Rajya Sabha, Minister of State for Food and Consumer Affairs Raosaheb Patil Danve said the expenditure on subsidy involved in allocation of foodgrains under the food security law as well as existing PDS system is met out of budgetary allocation for food subsidy.
"During 2014-15, the allocation under food subsidy is Rs 1,10,500 crore against which Rs 93,894 crore has been released so far," he added.

Replying to a separate query, Danve said: "There is also no proposal for reduction in food subsidy".
He also informed that Rs 89,740.02 crore were disbursed to state-owned FCI and decentralised producing (DCP) states as food subsidy.
"The National Food Security Act (NFSA) has deemed to have come into force on July 5, 2013. Based on the preparedness and identification of beneficiaries for coverage under the Act, reported by them, allocation of foodgrains to 11 states/UTs ...Has started under the Act," Danve said.

These 11 states/UTs are- Bihar, Chandigarh, Chhattisgarh, Delhi, Haryana, Himachal Pradesh, Karnataka, Madhya Pradesh, Maharashtra, Punjab and Rajasthan.

Remaining 25 states/UTs have not completed the preparatory measures required for the implementation of the Act.
"Currently a monthly allocation of about 18.34 lakh tonnes is being made under NFSA to the 11 states/UTs...Allocation of foodgrains under existing PDS is being continued in states/UTs where implementation of NFSA has not started," Danve said.