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Oct 24, 2014

[Econ] National Food Security Act

Economics
National Food Security Act (NFSA)




India: Per capita availability of Food

Foodgrains
~ 185 kg
Edible Oil
~ 16 kg
Milk
~ 295 gm / day (higher than world average)
Eggs
~ 55/year
Fruits
~ 172 gm/day
Vegetables
~ 359 gm/day

 Timeline

Year
Events
1997
* Targeted Public distribution system  (TPDS)
* Two tier pricing structure: BPL and APL.
* State Governments decide BPL and APL based Planning commission
2000
* Antyoday Anna Yojana
* 25 kg foodgrain per family
* Rice price: Rs.3/kg
* Wheat price: Rs.2/kg
2013
* National food security act passed
* Bill passed by Lok Sabha on Aug 26, 2013
* Bill passed by Rajya Sabha on Sep 02, 2013
* President gave assent to the Bill on Sep10, 2013

 Responsibility under Food security act

Union
State
allot foodgrains to states as per their requirement
identifying the eligible households
transport food grain to states         
deliver it to beneficiaries
if stock insufficient, then give food allowance to states 
if can’t deliver foodgrains to beneficiaries, pay them food allowance. (Union will decide the rates).

·        67% of Indian population covered.
·        State Governments have to identify the households in such manner that 75% rural + 50% urban population covered.
·        States can use data from socio-economic and caste census (SECC).

Who gets what? Prices and Entitlements in NFSA

Quantitative entitlements
Household
They’ll get ____ foodgrain
Antyodaya Anna Yojana (AAY)i.e. bottom of BPL population
35 kg for entire family
Priority household
5 kg per person

           
Who gets what & how much?
Foodgrain
Households will pay Rs. ___ per kg
Rice
3
Wheat
2
Coarse grains
1
Pregnant Women
* free meals @Anganwadi
* Rs. 6000 in installments
Children (6 month upto 6 years)
Free meal @Anganwadi
Children (6 years – 14 years)
* free midday meal at school
* take-home rations
in case of non-availability of foodgrains
* Union will give Food security allowance to states
* States will give to beneficiaries

           


  
Grievance Redressal Mechanism

State Food Commission
* Supervise all entitlements
* Evaluate implementation of this act
* Power of civil court, punish + penalty up to Rs.5000
* 1 chairman+ 5 members + 1 secretary
District grievance Redressal officer
* First point for complaint under NFSA
* Further appeal to State food officer
* Call centres and helplines

Deadlines under Food security Act
·        Law came into force - July 05, 2013
·        Deadline to identify eligible households - July 05, 2014 (i.e. within a year)
·        BJP Government Extended “household-identification” deadline - October 2014

State/UT who implemented
Some of the below listed states / UTs implemented the scheme fully or partially.
(01) Haryana
(02) Rajasthan
(03) Himachal Pradesh
(04) Delhi
(05) Punjab
(06) Karnataka
(07) Chhattisgarh
(08) Uttarakhand
(09) Chandigarh
(10) Madhya Pradesh
(11) Bihar
(12) Maharashtra
(13) Jharkhand (July 2015)
(14) Mizoram (July 2015)

(15) Tripura (Sep 2015)


Tamil Nadu objects to NFSA

·        Tamil Nadu and Chhattisgarh raised concern on the Food Security Bill right form the first. Both these States has universal PDS type method and puts not constraints to tits people. But the new act, wants it to be of TDS scheme.
·        In Tamil  Nadu, rice is being given FREE for 1.8 crore families irrespective of their family income or any other constraints




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