Public distribution of food in India

Abstract

This article analyses recent evidence underlying concerns related to the coverage and performance of the Indian Public Distribution System. The broad conclusions are that leakages into the free market are a serious problem, as is the weak targeting in the programme. Contrary to popular perception, though, rural coverage, given the parameters under which the programme operates, is roughly comparable to urban coverage. For the future, greater attention to state poverty levels in determining central foodgrain allocations, loosening of regulations surrounding the use of ration cards, greater use of inferior grain varieties and a reduction in the number of commodities handled by the system are suggested to reduce costs, intensify targeting and improve general efficiency levels.