The Government proposes
to introduce a pilot scheme in six Union Territories (UTs), namely
Andaman & Nicobar Islands, Chandigarh, Dadra & Nagar Haveli, Daman & Diu,
Lakshadweep and Puducherry for direct transfer of food subsidy under
Targeted Public Distribution System (TPDS). Under the proposed scheme,
foodgrains will be issued by Food Corporation of India at the economic
cost. The cash subsidy equal to the difference in the economic cost and
the present issue price will be credited to the bank account of the
beneficiary in advance to enable the beneficiary to purchase the
foodgrains at this cost. The details of the scheme will be finalized in
consultation with UTs. etc.
Under the proposed scheme, foodgrains shall continue to be distributed
to the beneficiaries under TPDS through the Fair Price Shops.
This information was given by the Minister of State (IC) for Consumer
Affairs, Food & Public Distribution Prof. K.V.Thomas in a written reply
in the Rajya Sabha today.