The Union cabinet has approved the extension of the Pradhan Mantri Garib Kalyan Ann Yojana (PMGKAY) to provide free food grains to about 81.35 crore poor for another five years with effect from January 1, 2024.

The decision makes PMGKAY amongst the world’s biggest social welfare schemes aimed at ensuring food and nutrition security for 81.35 crore people, at an estimated cost of Rs 11.80 lakh crore, over a five-year period.

“The decision reflects the strong commitment of Prime Minister Narendra Modi towards efficient and targeted welfare through fulfillment of basic food and nutrition requirements of the population. Ensuring food security at this scale during Amrit Kaal would play a pivotal role in dedicating efforts towards building an aspirational and developed India,’’ an official press note said.

Free food grains (rice, wheat and coarse grains/millets) under PMGKAY for five years from January 1 will strengthen food security and mitigate any financial hardship of the poor and vulnerable sections of the population. It would provide nation-wide uniformity in delivery of food grains free of cost in all states/Union territories through a network of over 5,00,000 fair price shops under a common logo.

It will also enable ease of living, in terms of allowing beneficiaries to lift free of cost food grains from any fair price shop in the country under the ONORC-One Nation One Ration Card- initiative. This initiative is of enormous benefit for migrants, facilitating both intra and inter State portability of entitlements as part of technology based reforms under Digital India. The free food grains will concurrently ensure uniform implementation of portability under One Nation One Ration Card (ONORC) across the country and will further strengthen this choice-based platform.

The approximate food subsidy for five years for distribution of food grains under PMGKAY will be to the tune of Rs 11.80 lakh crore. Thus, the Centre will spend about Rs 11.80 lakh crore during the period of next five years as food subsidy under PMGKAY, to provide free food grains to the targeted population.

The provision of free food grains under PMGKAY for five years reflects the long-term commitment of the government for addressing national food and nutrition security. Provision of free food grains shall mitigate any financial hardship of the affected strata of society in a sustainable manner and ensure long term pricing strategy with zero cost to the beneficiaries which is vital for effective penetration of the Public Distribution System.

As an example, the economic cost of 35 kg rice for an Antyodaya family comes to Rs 1,371, while the cost of 35 kg wheat comes to Rs 946, which is being borne by GOI under PMGKAY, and the foodgrains are provided completely free to the families. Thus, the monthly savings of ration card holders are significant, on account of the free foodgrains.

The Government of India has a commitment to the people of the nation – a dignified life by ensuring them access to food and nutritional security through availability of adequate quantity of quality food grains. The Scheme will contribute to fulfilling the Government of India commitment to 81.35 crore people covered under PMGKAY.

Keeping in view welfare of the beneficiaries and in order to strengthen the food security in terms of accessibility, affordability and availability of food grains for the targeted population, and to maintain uniformity across the States, the decision has been taken to continue providing food grains, free of cost, under PMGKAY for five years.