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The Lok Sabha on Monday endorsed the Food Security Bill, which makes subsidised foodgrain a right for 67 per cent of the population, or82 crore Indians.

The bill is expected to cost the government exchequer Rs 1.3 lakh crore ($22 billion) every year.

With this law being pegged as the Congress partys gamechanger for the 2014 Lok Sbaha elections, UPA chairperson Sonia Gandhi made arare speech in Parliament, terming the Bill a historic step towards eradicating poverty. The food bill is meant for the less fortunate sectionsof our society, she said.

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All you need to know about National Food Security Bill

by FP StaffAug 27, 2013

#Food security#Food Security Bill#NAC#Sonia Gandhi#UPA
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Reuters

Expectedly, the Opposition has criticised the bill as an attempt by the Congress to get mileage in the run-up to the 2014 polls.

This bill is half baked, but we have still decided to support it, Leader of Opposition Sushma Swaraj said. Needless to say, the timing ofthe Bills introduction in Parliament is such that almost all parties have found themselves compelled to endorse it.

In fact, even the proponents of the Bill have criticised the Congress partys haste in getting the bill cleared without completed the required

groundwork.

I am quite dismayed by this ordinance and also very concerned about the possible consequences of excessive haste. A sense of urgency iscertainly required, but rushing the implementation of the bill for short-term electoral gain could be counter-productive, and even defeat thewhole purpose of the bill, former National Advisory Council member Jean Dreze had told Mumbai Mirror in an interview.

Dreze had resigned from the council due to his differences with the Bill.

Here are a few facts about the Bill:

The chronology

The Bill was originally conceived by the National Advisory Council headed by Congress President Sonia Gandhi, who on 27 October,2010, forwarded the basic framework of the proposed National Food Security Bill (NFSB) to Prime Minister Manmohan Singh. The Bill

envisaged covering 75 per cent of the countrys population, 90 per cent in rural areas and 50 per cent in urban areas.

The prime minister set up an expert panel nder the chairmanship of C Rangarajan to study the NACs proposal. The committee estimatedthat the total annual foodgrain requirement to roll out the NACs recommendations covering 72 per cent of the population in the first phaseand 75 per cent in the final phase was 68.76 million tonnes and 73.98 million tonnes, respectively.

The panel brought down the coverage to 67 per cent of the population and suggested reforming the public distribution system.

The government finally in July promulgated the National Food Security Ordinance, which has been made into a Bill now.

The details

The Bill seeks to offer rice at Rs 3 per kg, wheat at Rs 2 per kg and coarse cereals at Rs 1 per kg to the intended beneficiaries. Up to 75per cent of the rural population and 50 per cent of the urban population will get 5 kg of foodgrain monthly. The poorest who fall under theAntyodaya Anna Yojana will continue with their present monthly entitlement of 35 kg of food grains.

The Bill will entitle around 80 million of Indias 1.2 billion population to subsidised foodgrain under the Targeted Public DistributionSystem.

States are given the responsibility to decide on eligibility criteria based on socio-economic and caste census (SECC) data. However, theSECC survey is likely to take six more months.

Pregnant women and lactating mothers would receive a maternity benefit of at least Rs 6,000 .

Children aged six months to 14 years will get take-home rations or hot cooked food.

The central government will also provide money to states and union territories if it runs low on grain as well as providing them withassistance towards the cost of intra-state transportation and handling of grains.

In a bid to give women more authority in running their households, the oldest adult woman in each house would be considered the head ofthat household for the issuing of ration cards.

At the coverage and entitlement now proposed, the total estimated annual foodgrains requirement is 612.3 lakh tons and the correspondingestimated food subsidy for implementation of NFSB, at 2013-14 costs, is about Rs 1,24,747 crore.

There will be state and district level redressal mechanism with designated nodal officers. Redressal mechanism may also include call
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centers, helpline etc.

The Bill provides for penalty to be imposed on public servants or authority, if found guilty of failing to comply with the reliefrecommended by the District Grievance Redressal Officer

Merits and demerits

Crisil Research believes the proper implementation of the Bill will lower spending on foodgrains by below poverty line households, andfree up resources for spending on other goods and services, in particular health, education, and nutritious food.

It sees the Bill enabling an additional savings of around Rs 4,400 this year for each BPL household that begins to purchase subsidised

food. This savings equals around 8 per cent and 5 per cent of the annual expenditure of a rural and urban household, respectively.

For rural households the savings amount exceeds their current annual medical and educational spends. Higher disposable income wouldalso allow BPL households to spend more on protein-rich food, thereby improving their nutritional intake, Crisil said.

However, the research house has said key to accruing all these benefits is the proper implementation. While the benefits of the Bill couldgo well beyond just the provision of food, the success of the scheme and its welfare impact lies in identifying the poor and making sure thatthey are able to avail the food subsidy, it said.

Many critics of the scheme converge on this point. They say beneficiaries do not stand to gain as about 40 percent of rice and wheatearmarked for the poor gets siphoned off due to corruption. An inefficient distribution channel also leads to waste.

Implementing the bill in a fair, equitable and transparent manner is going to be a big challenge for the government.

Many agriculture experts believe that Food Bill which proposes to provide grains to people at very cheap rates may discourage theagriculture production in the country. Hence it must make sure that farmers should not be burdened with the cost of subsidising the supply.

Economists have raised concerns about the cost to the exchequer at a time when the government is struggling to bridge the fiscal andcurrent account deficits. Fitch Ratings has said it was getting more challenging for India to meet its fiscal deficit target in the current fiscalyear ending March 2014 with revenues slowing, Reuters reported today.

Economists of the Governments Commission for Agricultural Costs and Prices (CACP), who define the roadmap of agricultural policies,have calculated additional subsidy burden of Rs 1.20 lakh crore per annum from the existing Rs 90,000 crore

The Centre intends to delegate the task of construction of additional storage to the states, which may not be practically feasible givenconstrained centre-state relations among diverse political parties.

The government does not even have enough storage capacity to store the amount of grain that it currently procures and will have toprocure from the farmers in the years to come. So more grains could be dumped in the open and will rot as a result.

Experts believe the rush to pass the bill implies the intent is nakedly political.

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VARMA

National Food Security Bill

0
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5/13



see more

The National Food Security Bill, 2013 is a

direct admission by the Congress party that it could not or, more accurately,

was not willing to provide food security

to 67 per cent of the Indian population ( which includes 75 percent rural and

50 percent urban) even though it has been in power at the centre for over 57

years. Thus the Congress party failed miserably to provide

full food security for the poor people of India in the past.

Letus examine what the NFS Bill promises to do in the future.

The Bill promises to provide 5 kilograms

of rice/wheat per head per month which means a mere 166 grams per day or 83

grams per meal. However the minimum daily requirement of cereals (wheat/rice)

is 450 grams per adult per day (for one who does moderate amount of work).

Those eo le who do heav work need 600 rams er da .

9

Srinivas Balla

This is a historical mistake. No doubt! This is a clear indication that India is heading for biggest recession ever world seen!

Public Distribution System in states itself is in a very bad situation and widening it into national level is nothing but an

official encouragement for manipulators. It's so surprise to learn that the government doesn't even know that people are

not buying food grains from PDS, if at all they do, it is occasional. Don't they know how much corruption takes place each

an every ration shop? Every person in society hates to get subsidized food. It's another form of insulting. With this bill, the

Government encourage lazy people, over-dependence on it, eliminating self-sufficiency. Government should have tried to

bring down prices and create a better feeling than this ultra corrupt bill. Where is the money? Government has to pay

billions of rupees for New States (ex: Andhra Pradesh), billions for this bill, billions for imports and billions made by

common man and companies already dried in the name of dollar rupee game. How can a big democratic country fall in the

hands of these gamblers? Only God save this country.

DevourCatering

this will be interesting to watch and I really hope they don't provide rotten grain

raj

Don't worry my fellow Indians. They can give rice at Rs 3 per kg, wheat at Rs 2 per kg and coarse cereals at Rs 1 per kg.

But what about the quality of grains. There is no guarantee on the quality. I have seen BPL rice which is sold at Rs 2 per kg.

Even insects won't eat it. Same thing would happen here also. They will provide rotten rice, wheat and cereals so that poor

can die more quickly.

Vote2014

the NAC mentioned in the article which is headed by Sonia is a source of all these schemes. I wish both that planning

commission and NAC especially is abolished. Montek is worse, Sonia is the biggest enemy of India

Gautam

t least Montek's low definitions of poverty limit the scope for such money-wasting socialist scams. Sonia on the

other hand is well aware of the real situation and how to exploit it to the maximum level for votes without changing

he status quo.

Vote2014

True, so it all boils down to the wisdom of voters now - NOW is the time to route this useless govt out for

good!
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6/13



Baba Ramdev not important enough to conspire

against: Digvijaya

No Stature.......4 Cabinet ministers go begging to him

at the airport.Who are you fooling Dig Dig Raja

Here are smoke signals that PM and Sonia have fallen

out

My son and his future is more important

to me... I don't care of reputation of the PM or future of the

Delhis first time voters want Dikshit out, unsure

between BJP and AAP

AAP ki andhiNa chalega Modi na Gandhi

Delhi Congress seeks OBC support in Assembly polls

OBC, Muslims, Majority, Minority.. All Indians.. If

you really think about the welfare of your country..

Prem Rou

Please clarify whether true or not ? . In case of distress , floods, droughts etc when there will be real shortage , no food

security will be applicabel. in short "hamein milega "thenga".

Veeresh

After freedom, all politics was on Roti, Kapada and Makkan. Now, it time to move. So, the politics now is on Food, Cloth

and House! Great going!!

2

Gado

Please correct the spelling for India on the first paragraph "...82 crore Imdians"

3

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The PMs statement on the coal blocks allocated to Hindalco may be enough to close the case, but the thing to watch is what happensto the case against PC Parakh.

Coalgate: PM not off the hook even if CBI closes probe against Birla
http://www.firstpost.com/india/coalgate-pm-not-off-the-hook-even-if-cbi-closes-probe-against-birla-1183845.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/india/coalgate-pm-not-off-the-hook-even-if-cbi-closes-probe-against-birla-1183845.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/india/coalgate-pm-not-off-the-hook-even-if-cbi-closes-probe-against-birla-1183845.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/india/coalgate-pm-not-off-the-hook-even-if-cbi-closes-probe-against-birla-1183845.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/tech/can-bbm-ever-get-it-right-angry-users-must-wait-to-use-android-ios-app-1185527.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/tech/can-bbm-ever-get-it-right-angry-users-must-wait-to-use-android-ios-app-1185527.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/sports/interview-gopichand-on-his-quest-for-the-next-gopichand-1175293.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/sports/interview-gopichand-on-his-quest-for-the-next-gopichand-1175293.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/politics/dangerous-signs-is-bihar-moving-back-to-era-of-bloody-caste-wars-1186105.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/politics/dangerous-signs-is-bihar-moving-back-to-era-of-bloody-caste-wars-1186105.html?utm_source=editorpick&utm_medium=story


9/13



The PMs statement on the coal blocks allocated to Hindalco may be enough to close the case, but the thing to watch is what happensto the case against PC Parakh.

Would Competition Commission have the guts to bust jewellers cartel?

The truth is there is no back-to-back relationship between the ruling market price of the yellow metal and the gold used in making thejewellery just sold. Like any other manufacturer, jewellers too stock up the raw materialin their case bullionso much so that in arising market they always make a profit. Value addition in any case is relatively insignificant.

Rajesh Bhatia's story: Why India's airports aren't truly international

India Gandhi International Airports T3 terminal, is known for its swanky interiors and modern architecture, but when it comes tosecurity personnel training at the airport, the standards are truly of the past.

The contradiction that is Ishant Sharma

You cant count on Ishant Sharma to run through a side, take wickets with the new ball or keep the scoring rate down at the death.But you can count on him to play.

Why Prince Charming Rahul Gandhi can't win votes for Congress

The accusations of incompetence against Rahul again is solely based on the Congress performance in the government over the pastnine years.
http://www.firstpost.com/politics/why-prince-charming-rahul-gandhi-cant-win-votes-for-congresswhy-prince-charming-rahul-gandhi-cant-win-votes-for-congress-1177879.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/politics/why-prince-charming-rahul-gandhi-cant-win-votes-for-congresswhy-prince-charming-rahul-gandhi-cant-win-votes-for-congress-1177879.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/sports/the-contradiction-that-is-ishant-sharma-1180407.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/sports/the-contradiction-that-is-ishant-sharma-1180407.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/living/rajesh-bhatias-story-why-indias-airports-arent-truly-international-1182875.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/living/rajesh-bhatias-story-why-indias-airports-arent-truly-international-1182875.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/economy/would-competition-commission-have-the-guts-to-bust-jewellers-cartel-1181833.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/economy/would-competition-commission-have-the-guts-to-bust-jewellers-cartel-1181833.html?utm_source=editorpick&utm_medium=story


10/13



Why Raghuram Rajan has to deliver a kick in UPA's pants

The only institution that can act to stem inflation right now is the RBI. Raghuram Rajan has a unique opportunity to deliver thesystem a shock by raising interest rates by a larger-than-expected 0.5-1 percent. Politicians no longer have the credibility to act

Shamed and scarred: Stories of 'legal' abortions in India

Abortion in India is legal in name only. It is most often a painful, shaming experience that often causes permanent medical damage.

Katiyabaaz: Documenting Kanpur's battle for electricity

This documentary about the terrible power situation in the industrial centre of Kanpur unfolds with all the drama and charm of afeature film.

Debt ceiling absurdity: How the US Fed is running a ponzi scheme

This is a perfect Ponzi scheme where the government is paying off old debt by issuing new debt.

Modi-led BJP now has momentum to cross 200 in 2014
http://www.firstpost.com/politics/modi-on-the-verge-of-realising-pm-dreams-survey-1177197.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/politics/modi-on-the-verge-of-realising-pm-dreams-survey-1177197.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/economy/debt-ceiling-absurdity-how-the-us-fed-is-running-a-ponzi-scheme-1177519.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/economy/debt-ceiling-absurdity-how-the-us-fed-is-running-a-ponzi-scheme-1177519.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/bollywood/katiyabaaz-documenting-kanpurs-battle-for-electricity-1179769.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/bollywood/katiyabaaz-documenting-kanpurs-battle-for-electricity-1179769.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/living/shamed-and-scarred-stories-of-legal-abortions-in-india-1179659.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/living/shamed-and-scarred-stories-of-legal-abortions-in-india-1179659.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/economy/raise-rates-why-rajan-has-to-deliver-a-solid-kick-in-upas-pants-1179559.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/economy/raise-rates-why-rajan-has-to-deliver-a-solid-kick-in-upas-pants-1179559.html?utm_source=editorpick&utm_medium=story


11/13



The momentum is building for BJP in the run-up to 2014. The imponderables are UP and Bihar, but even here there is a pro-Moditrend.

Live: Respect the dead, says Rahul; Chouhan hits back

We track the latest developments as Congress Vice President Rahul Gandhi attends a rally in Madhya Pradesh.

Coalgate: Why the CBI's decision to file an FIR against Birla isn't wrong

The CBI hasnt erred in filing the FIR given the implication of impropriety but it should have filed it against all those who may beculpable.

Coalgate: logic of naming KM Birla is to tar system and maybe save PM

The CBIs decision to name Kumar Birla in an FIR related to the Coalgate scam smells fishy.

Jamiat chief Madani destroys Congress' Rahul vs Modi game plan

Madani is generating a debate on the prevailing politics of negativity and telling the Muslims that it is them who should decide onwho is secular and who is not, instead of being told by Congress or other secularist parties.
http://www.firstpost.com/politics/jamiat-chief-madani-destroys-congress-rahul-vs-modi-game-plan-1174333.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/politics/jamiat-chief-madani-destroys-congress-rahul-vs-modi-game-plan-1174333.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/business/coalgate-logic-of-naming-km-birla-is-to-tar-system-and-maybe-save-pm-1174895.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/business/coalgate-logic-of-naming-km-birla-is-to-tar-system-and-maybe-save-pm-1174895.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/business/coalgate-why-the-cbis-decision-to-file-an-fir-against-birla-isnt-wrong-1176885.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/business/coalgate-why-the-cbis-decision-to-file-an-fir-against-birla-isnt-wrong-1176885.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/politics/live-respect-the-dead-says-rahul-chouhan-hits-back-1177067.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/politics/live-respect-the-dead-says-rahul-chouhan-hits-back-1177067.html?utm_source=editorpick&utm_medium=story


12/13



Tendulkar at Wankhede: It's not about the stats, it's about sentiment

Tendulkars home ground of Wankhede has been selected as per the master batsmans wishes.

Review: Akshay Kumar's Boss is shameless and mediocre

It is shamelessly mediocre cinematic swill posing as masala entertainment.

Without AAP, BJP would win Delhi elections, says expert

Delhi is a month away from assembly elections, and all three parties (BJP, Congress and AAP) are vying for an advantage. Wherethe state ruling party Congress is dealing with a wave of anti- incumbency sentiment, the BJP is struggling to contain party infighting,and contend with its biggest drawback: the lack of a strong []

Vadra's biceps and Modi's kurtas: Politics of fashion

Mirror, mirror on the wall, whos the fairest of them all? Our political movers and shakers might not dress flashily but it doesnt meanthey dont worry about their looks. Whether its Modi pondering new style choices, or Robert Vadra keeping his biceps and under asuit in India, our men dress to impress.
http://www.firstpost.com/tech/1-november-buy-iphone-5s-for-rs-54000-5c-for-rs-42000-in-india-1172393.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/living/vadras-biceps-and-modis-kurtas-politics-of-fashion-1172821.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/living/vadras-biceps-and-modis-kurtas-politics-of-fashion-1172821.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/politics/without-aap-bjp-would-win-delhi-elections-says-expert-1172579.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/politics/without-aap-bjp-would-win-delhi-elections-says-expert-1172579.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/bollywood/review-akshay-kumars-boss-is-shameless-and-mediocre-1174565.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/bollywood/review-akshay-kumars-boss-is-shameless-and-mediocre-1174565.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/sports/tendulkar-at-wankhede-its-not-about-the-stats-its-about-sentiment-1172729.html?utm_source=editorpick&utm_medium=storyhttp://www.firstpost.com/sports/tendulkar-at-wankhede-its-not-about-the-stats-its-about-sentiment-1172729.html?utm_source=editorpick&utm_medium=story


13/13


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1 November: Buy iPhone 5s for Rs 54,000, 5c for Rs 42,000 in India

It has been confirmed that Apples iPhone 5 is coming to India on 1 November, and that the device will be sold by Airtel and RCom.The iPhone 5s will cost Rs 54,000 while the cheaper iPhone 5c will cost Rs 42,000.

US debt debate is hogwash: Uncle Sam has already defaulted

The argument between Democrats and Republicans over the US debt ceiling is really meaningless: it is guns versus butter as againstguns versus margarine. Nothing significant.

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