5kg ration scheme extended till March

Just months before the crucial Assembly polls in Uttar Pradesh and Punjab, the Cabinet on Wednesday not only approved the Bill to repeal the three contentious farm laws, but also extended the free foodgrain distribution scheme under the Pradhan Mantri Garib Kalyan Ann Yojana (PMGKAY) for four more months from December.

- SANJEEB MUKHERJEE

Under the PMGKAY, the Centre gives an additional five kilograms of rice or wheat per month to beneficiaries of the National Food Security Act (NFSA) over and above their usual monthly quota for free.

The Centre will incur an additional expenditure of 453,344 crore because of the extension. It plans to distribute an extra 16.3 million tonnes (MTs) of foodgrain over this period.

Thus far this financial year, the Centre has incurred an estimated additional subsidy of 193,868 crore on the PMGKAY, which was restarted in May for two months after the second wave of Covid-19 and was later extended till November. A total of 8 MT and 20.4 MT of foodgrain were allocated for the two extensions, respectively.

With the latest extension, the Centre will spend an extra 1.47 trillion on food subsidy for the PMGKAY this fiscal.

PANDEMIC RELIEF

Under the PMGKAY, the Centre gives an additional 5 kg of rice or wheat per month to beneficiaries of the National Food Security Act

The Centre will incur an additional expenditure of 53,344 crore due to this extension