Pradhan Mantri Garib Kalyan Yojana: Cabinet approves further allocation of additional foodgrain to NFSA beneficiaries till this date - CHECK details

The Union Cabinet, chaired by Prime Minister Narendra Modi on Wednesday approved the allocation of additional foodgrain under Pradhan Mantri Garib Kalyan Yojana (Phase IV) – for another period of 5 months that is from July to November 2021.

As per the information, the government has sanctioned 5 kg per person per month free of cost for maximum 81.35 Crore beneficiaries covered under the National Food Security Act (NFSA) (Antyodaya Anna Yojana and Priority Households) including those covered under Direct Benefit Transfer (DBT).

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"The sanction of the additional food-grain free of cost to a maximum of 81.35 crore individuals under TPDS @ 5 kg per person per month for five months would entail an estimated food subsidy of Rs 64,031 crore," as per the statement released by the cabinet.

As the central government is bearing the entire expenditure towards this Scheme without any contribution by States and UTs, an additional expenditure of about Rs 3,234.85 crore would be required to be met towards transportation and handling and FPS dealers’ margins etc. by the government.  

Therefore, the total estimated expenditure to be borne by the central government will be Rs 67,266.44 crore.

The allocation in terms of wheat/rice shall be decided by the Department of Food and Public Distribution.  Also, the Department of Food and Public Distribution may decide on the extension of the lifting/distribution period under Phase III and Phase IV of PMGKAY as per operational requirements, arising out of adverse weather conditions like monsoon, snowfall, etc. and supply chain and Covid-induced constraints.

The total outgo in terms of foodgrains may be approximately 204 LMT. According to the statement, additional allocation will ameliorate the hardships faced by poor due to economic disruption caused by coronavirus.