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Centre makes PDS free for 810 mn people; annual outlay likely at Rs 2 trn

Govt merges certain benefits of PMGKAY into PDS

Welfare schemes, rations, poverty, poor, PDS
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After multiple extensions to the PMGKAY, the food subsidy bill for the fiscal year currently stands at Rs 3.3 trillion, against the Budget Estimate of Rs 2.07 trillion

Sanjeeb MukherjeeArup Roychoudhury New Delhi
In a significant move, the Narendra Modi government on Friday made the distribution of foodgrain through ration shops as part of the National Food Security Act (NFSA) free for the almost 810 million beneficiaries, by merging certain benefits of the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) into the Public Distribution System (PDS).

The Antyodaya Anna Yojana (AAY) beneficiaries (who are among the poorest of the poor), who got 35 kg of foodgrain per family per month, would also not have to pay henceforth, officials clarified.

Top sources told Business Standard that the Rs 2-trillion per annum outlay for free