India is to introduce one of the largest welfare schemes in the world

[Panther 57]

India is to introduce one of the largest welfare schemes in the world after its Food Security Bill was passed by parliament.

Two-thirds of India’s 1.2 billion population, about 800 million people, will be guaranteed subsidised food under the scheme.

It will cover 75% of the estimated 833 million rural population and 50% of the 377 million urban poor.

The scheme guarantees 5kg of rice, wheat and coarse cereals at a fixed price of three, two and one rupees per person every month.

It also allows pregnant women and new mothers to get free meals for six months, along with children between six months and six years.

The government promised to bring in the changes when it came back to power for the second successive time in 2009.

Senior Minister Shashi Tharoor told Sky News: "It's a question of national priorities, our party (Congress) believes very strongly that the basic cause of a lot of fundamental problems for the poor in India is food and security.

INDIA-POLITICS-FOOD SCHEME
The scheme was spearheaded by Congress leader Sonia Ganghi (second right)
"In the West food occupies probably 10-15% of the monthly expenses; there are poor people for whom food in our country would be 90% of their expenses.

"Often if they have to economise on something it's food that they skim on."

Critics of the scheme have said the food subsidy will be an extra burden on an already sagging economy.

They say it will cost the exchequer up to £15.8bn a year.

Growth for 2013 has been scaled down to five per cent, which is the lowest in the last 10 years.

With additional expenditure the government would be unable to bring down the fiscal deficit from an uncomfortable 5.5%.

The food subsidies will be rolled out through the Public Distribution System (PDS), which is riddled with irregularities and corruption.

Indian ruling parliamentarian Sashi Thar
Minister Shashi Tharoor admits the scheme will help his party in elections
Reports have estimated that 37% to 55% of subsidised rice and wheat are syphoned off and sold on the black markets.

In addition, almost 10% of the food rots in warehouses before it is distributed.

Farming bodies also oppose the legislation as they believe the government will become the largest buyer, hoarder and seller of food grains.

They say it is akin to nationalisation of agriculture and that their bargaining power will be further reduced.

Although no major party is opposing such a populist scheme, there are objections to its timing.

Indian general elections are less than a year away and some crucial states go to the polls in the next few months.

Minister Shashi Tharoor has dismissed opposition claims.

He said: "Find me one government which does not want to be re-elected, I’ll be very interested to meet them.

"Obviously every government is attempting to do things which will ensure its re-election.

"We have done a number of things from bringing in the Right to Information Act and the Rural Employment Guarantee Act that were brought in well before the elections came around."

The Food Security Bill will undoubtedly be the centrepiece of the ruling Congress party’s plan to win another term in the elections, due in May.

According to a UN report, India is home to a quarter of the world's hungry poor, despite being one of the world's largest food producers.

Malnourishment and chronic undernourishment are a major problem in the country.

India has the largest number of malnourished children in the world - even higher than Sub-Saharan Africa.

A very good step indeed, provided it materialises in true sense.

 

[Arav_Rana]

It is going to be a largest scam. People need jobs to be self independent. But by such policies we are making them beggar and dependent on corrupt system. More then 40000 crore food goes waste because we can not change policy, we also provide cheaper food item. Why we need this ?
We must try to bring people life level higher but this system ll make them more lazy , corrupt and evil in nature.

@panter 57 - this is not good brother. It ll destroy society. Struggle in life is very important. What we need to offer job, to improve the living but these politicians want vote bank only.

 

[Star Wars]

Largest scheme to keep Indians poor....largest scheme to siphon money of the country...largest scheme to destroy the economy

 

[iam not greek]

teach them to fish rather than giving them fish. Lets hope this scheme is modified

 

[Panther 57]

this is not good brother. It ll destroy society. Struggle in life is very important. What we need to offer job, to improve the living but these politicians want vote bank only.

I will agree to your comment as you are the best judge of what is happening inside your country. I fully endorse that we should teach people how to catch fish rather then giving it to them.

However, there should be a portion of welfare for people in a governments economy, like it is being implemented in Canada and Germany. Bad times do come on people and those who have been paying taxes through out their life should not be left helpless at that time.

 

[Tikolo]

well food should be available to everybody, it's about time. In pakistan no matter how poor people are, nobody goes hungry

 

[indiatester]

Largest scheme to keep Indians poor....largest scheme to siphon money of the country...largest scheme to destroy the economy

Implementation is to be seen. But these sorts of laws should have existed from day one. There is no reason for anyone to be hungry.
But like you say, freeloading mentality should not be encouraged. But based on experience, it is going to happen.

 

[Pulsar]

Crashing rupee, zooming inflation, GDP heading South, stock markets tanking, prices going through the roof, fiscal deficit at an alarming level, soaring balance of payments, Rs700,000 crores worth of infra projects hanging fire, policy paralysis, corruption and crony capitalism ruling the roost, and just enough foreign exchange for 6 months of imports, this is where the UPA has landed us - up sh!t creek without a paddle!!

And our great political class has gone ahead and given the green signal for rolling out the epic fail food security bill that will cost the depleted exchequer a whopping Rs 600,000 crores in the next 3 years!! All for those blessed votes and the enormous amount of money they'll make!

Guys, get prepared to shell out more as there would be a surcharge on the tax you already are burdened with, for financing this bloody idiotic scheme.

The politicians will now be laughing all the way to the bank as at least 50% of this massive amount will be going into the pockets of these bastards and their cronies. '

Mera Bharat Mahaan!!

 

[agamdilawari]

You u have zero storage facilities, u have no transportation scheme to support it, u know it will be a logistical nightmare, u have fcuking large fiscal deficit getting wider day by day YET u roll out such schemes just to ensure u remain in power.....we should be ashamed of ourselves how we elect such fools to lead such a big nation.

 

[third eye]

A scheme is only as good as its implementation.

However, considering the amount of food that rots in Govt godowns it better that someone eats it.

 

[Agnostic_Indian]

what do you people think about the scheme ?
should govt give away unproductive freebees ?
shouldn't this money be utilized for generation of small scale labour or other productive subsidies than making people dependent on govt for food ?

 

[joekrish]

A good scam in the making, end of the day the state gov is going to blame the central gov and vice versa and we the people are going to be mesmerized by yet an other show where the CUG clowns perform.

 

[Arav_Rana]

@Panther 57 - for this we have some policies. Like mid day food in schook for children, so poor children can come school. But they are not improving standard. They are looting in this also. 2nd thing we also provide food item in very cheap rate. Even less then 5 rup per kg. Third thing they have policies for BPL (BELOW poverty line) people, like giving them free home at very cheap rate, food etc, there are many more.
What we need to improve our old system. In India around 44k crore food goes waste because of poor management and no storage facilites.

 

[TopCat]

India need more such scheme than aircraft carrier and submarine. I m begining to like India.

@Panther 57 - for this we have some policies. Like mid day food in schook for children, so poor children can come school. But they are not improving standard. They are looting in this also. 2nd thing we also provide food item in very cheap rate. Even less then 5 rup per kg. Third thing they have policies for BPL (BELOW poverty line) people, like giving them free home at very cheap rate, food etc, there are many more.
What we need to improve our old system. In India around 44k crore food goes waste because of poor management and no storage facilites.

Why yu have to give 5 rp/kg?

We have govt scheme which sells grains less than market price like 16tk /kg whereas market price is 25tk/kg and only limited to coarse rice to stabilize market.

And funny thing is People dont buy them. They wait all day long on the truck for customer.. LOL

 

[gslv mk3]

India need more such scheme than aircraft carrier and submarine. I m begining to like India.

India spends $ 70 billion an years for poverty alleivation schemes an year..

You know how much Aircraft carrier and submarine cost?

Why yu have to give 5 rp/kg?

We have govt scheme which sells grains less than market price like 16tk /kg whereas market price is 25tk/kg and only limited to coarse rice to stabilize market.

Just to fool common people..