Civil Supplies Department, Govt of Kerala

PDS IN KERALA AT A GLANCE

No of districts 14

No of taluks 81

No. of Interim

Godowns 107

No of ARDs 14,297

No of Ration Cards 86.30 Lakhs

No of AAY cards 5.89 Lakhs

No of PHH cards 31.01 Lakhs

Total NFSA Cards 36.90 Lakhs

Tide Over Cards 49.40 Lakhs

Category No of CardsEntitlement per

monthPrice/Kg

State Subsidy

per Kg

AAY Rice

5.89 L30 Kg/card Free Rs 3.00

AAY Wheat 05 Kg/card Free Rs 2.00

PHH Rice

31.01 L04 Kg/member Rs 2.00 Rs 1.00

PHH Wheat 01 Kg/member Rs 2.00 NIL

NPS Rice 25.42 L 02 Kg/member Rs 4.00 Rs 4.30

NPNS Rice 23.98 LVaries Rs10.90 NIL

Fortified Atta

NPS &

NPNS 2 Kg or 3 Kg Rs 17 NIL

FPS COMMISSION

Z172%

Z220%

Z36%

Z42%

Z1: 0-8 km

Z2: 9-16 km

Z3:17-32 km

Z4: more than 32 km

PRE-NFSA/EPOS

2016-Maximum

Commission

Rs 100 per Quintal

Zone Avg

Commission

Rate per Qntl

Z1 Rs 91.05

Z2 Rs 93.59

Z3 Rs 98.68

Z4 Rs 98.68

Zone Avg

Commission

Rate per Qntl

Z1 Rs 53.89

Z2 Rs 55.41

Z3 Rs 58.42

Z4 Rs 58.42

2014-Maximum

Commission

Rs 60 per Quintal

FPS COMMISSIONViability Study by World Food Programme (WFP)- Findings-2014

Rent-

2250/- Rural

3250 - Urban

Electricity

200

Travel

500

Storage

104

Capital Asset Recurring cost

103

Helper

4625 – Rural

5500 - Urban

Costs/opportunity costs incurred by a Ration Dealer

Major expenditure heads-

Rent and Helper wages.

Rent varies depending on the

location and ownership.

Helper wages vary

depending on quantity of

food grains handled.

CONCEPT OF VIABILITY THRESHOLD

• The viability threshold is the amount which a dealer should earn after deducting

all his expenses.

Viability threshold(for 25 days) Per day Per month

Semi-skilled non-agricultural daily

wage rate (urban)600 15000

Semi skilled non-agricultural daily

wage rate( Rural)500 12500

Kerala shop timings- 8 am to 12 noon, 4 pm to 8 pm, Sundays holidays.

167

14145

No of FPSProfitable

Non-Profitable13779

533

No of FPS

Profitable

Non-Profitable

With door delivery

Profitability/viability with Old Commission Structure-2014

Profitable means (Commission – Expenses) >0

Without door

delivery

143

14169

No of FPS

Profitable + Non

viable

Profitable + Viable

Viable means Profit > Viability Threshold

RECOMMENDATIONS TO IMPROVE VIABILITY

Increasing Commission

A combination of increasing commission and base payment

A combination of increasing commission, base payment and incentivizing transactions

FPS COMMISSION

1st November 2016 NFSA implemented in the State

FPS dealers agitated regarding their commission structure

Government constituted a committee with Director Civil Supplies as chair and including ration dealers to propose a package

The committee has recommended a model of commission structure

Government of Kerala have agreed to a final package based on the committee recommendations subject to the condition that the EPOS will be

implemented before new commission structure is implemented

FPS COMMISSION

➢Minimum Commission has been fixed as 18000/- for a minimum offtake of 45 Qntl.

➢ Supportive payment -Rs 18000/-

➢ Commission Rs. 180/- per quintal for

each quintal above 45 Qntl

➢ Supportive payment of maximum of Rs.

8500/-

➢ commission of Rs. 220/- per Qntl

If the offtake is below 45 Qntl If the offtake is 45 Qntl or more

FPS COMMISSION➢ For an FPS whose sale is 30 Qntl, the commission will be calculated as shown below

Basic support - 8500/-Additional commission - (30 Qntl * 220) = 6600/-Total Commission = 8500 +6600 = 15100/-

➢ For an FPS whose sale is 50 Qntl, the commission will be calculated as shown below

Basic support- 18000/-Additional commission - (05 Qntl * 180) = 900/-Total Commission = 18000 + 900 = 18900/-

➢ For an FPS whose sale is 100 Qntl, the commission will be calculated as shown below

Basic support - 18000/-Additional commission - (55 Qntl * 180) = 9900/-Total Commission = 18000 + 9900 = 27900/-

FPS COMMISSION

9100

4550

2730

27900

18900

15100

Offtake= 100Q

Offtake= 50 Q

Offtake= 30 Q

Commission – New and Old

FPS COMMISSION-old

Commission

range

No. of

FPS

<10000 10641

10000 – 20000 3350

20000 – 30000 350

350

3350

10641

0 3000 6000 9000 12000

20000 – 30000

10000 – 20000

<10000

FPS COMMISSION-new

Commission

range

No. of

FPS

<10000 63

10000 – 20000 3196

20000 – 30000 7356

30000 – 40000 2486

40000 – 50000 576

50000 – 60000 143

60000 – 70000 16

>70000 2

2

16

143

576

2486

7356

3196

63

0 2000 4000 6000 8000

>70000

60000 – 70000

50000 – 60000

40000 – 50000

30000 – 40000

20000 – 30000

10000 – 20000

<10000

CONCURRENT EVALUATION- KERALA UNIVERSITY FINDINGS- JAN TO MARCH 2019

District Area FPS

Offtake

(Quintal

s)

Total

expenses

(helper+rent

+electricity)

Total

Revenue(Com

mission +

Sale of gunny

bags)

Profit/ Loss

(net

income)

Wayanad

UrbanSHOP1 98 11200 30585 19385

SHOP2 51 12810 20866 8056

Rural

SHOP3 119 12240 44791 32551

SHOP4 170 12150 48487 36337

SHOP5 169 13200 36333 23133

Kollam

UrbanSHOP1 113 13450 32766 19316

SHOP2 85 13200 28312 15112

Rural

SHOP3 32 8250 17113 8863

SHOP4 79 8300 25560 17260

SHOP5 88 9150 28712 19562

BUDGET REQUIREMENTS OLD AND NEW

PER ANNUM-OLD PER ANNUM-NEW

142

CRORE

420

CRORES

OTHER BEST PRACTICES

Kerala Ration Dealer's Welfare Fund Scheme

➢ A scheme formulated by Government for implementing welfare measures for the Ration

Dealers . Managed by a governing body with Commissioner of Civil Supplies as ex-officio

Chairman and 10 members.

➢ The Fund is raised with the subscription of Ration Dealers (members) which is at present

Rs.200/- per month. Now there are 13970 live members.

➢ A Deputy Controller of Rationing from the Department of Civil Supplies functions as

the CEO with 5 supporting staff.

• Members who have completed 62 years of age with minimum period of 10 years service are entitled to pension of RS. 1500/- per month as soon as they cease to be dealers.

Pension

• Paid to legal heirs in the event of death of a member subject to a maximum of Rs 40000/- based on the number of completed years of membership.

Lump sum of payment

• Medical assistance upto Rs.25000/- is sanctioned for treatements like transplantation of kidney, cardiac surgery, limb fitting or for treatment of fatal diseases like cancer

Medical Assistance

• Three students (children of the members) each who secure highest marks in SSLC and Higher Secondary examinations are paid scholarship @ Rs.5000/-

Educational Scholarship

• Interest free loans are given to the members who have completed five years of membership and have a minimum deposit of Rs.2500/- at their credit

Interest free loans

FPS RENOVATION

BEFORE AFTER

An amount of Rs 2500/- were given to each FPS for renovation

BROCHURES/HANDBOOKS/PAMPHLET

f

• Features of NFSA

• Components of End to End Computerization

• Grievance Redressal Mechanism

• Different schemes implemented by Dept.

• Contact Details

• Etc…

Contents

Direct Supply to tribal hamlets

GIVE UP RATION

Beneficiaries who would like to retain ration card without availing ration have been given an

online option to give up ration temporarily for about 6 months.

The beneficiary can opt for availing ration again after a gap of 6 months if he/she wishes so.