People's Democracy

LDF Determined To Retain The PDS

THE LDF government of Kerala is determined to retain the public distribution system (PDS) in spite of the contrary directions from the central government. It will be noted that every central budget since the policy of globalisation was adopted, aimed at a gradual dismantling of the PDS. This year’s central budget too imposed heavy burdens upon the state government so as to deter it from continuing with the PDS. The central government’s decision to disband the PDS will further impoverish the economically poor people.

In this regard, the centre’s stand is that only the people below poverty line (BPL) need be given ration at subsidised prices. As the BPL people, according to the central statistics, account for only a meagre 12 per cent of the population in Kerala, the decision to confine the PDS ration to the BPL population would virtually eliminate the PDS in the state.

Further, the latest central budget shifts the responsibility of running the PDS to the shoulders of the state governments. The Food Corporation of India (FCI) is soon to relinquish its responsibility of conserving the food grains. The FCI would conserve only 10 lakh tonnes of food grains as security reserve. Even the gravely food-deficient states will thus have to depend solely upon the open market for their food supply. The central budget has also enhanced the price of sugar, causing further hardship to the people of the country.

States like Kerala are undergoing a perilous food situation due to this central policy. However, the LDF government has taken effective steps to retain and protect the PDS in the state. The state budget declared that the PDS will be protected at any cost, and earmarked a sum of Rs 161 crore for strengthening it. An additional Rs 50 crore will be allotted to the Civil Supplies Corporation to enable it to effectively intervene in the market.

So far, whenever the central government increased the price of the ration articles, the LDF government in the state initiated steps to minimise the blow to the people. Since August 1996, the state government has been distributing 16 kg of rice per cardholder per month at a rate Re one less than the usual ration rate. This concession was later enhanced to benefit the ordinary consumers in the state. Now all cardholders in the state get 16 kg of rice per month at a price Rs two below the usual ration rate. As many as 42 per cent of the people of Kerala are getting 20 kg of rice per month at Rs 6.40 per kg. The central assistance covers only 25 per cent of these beneficiaries. Responsibility for the remaining 17 per cent is borne by the state government.

The present LDF government reopened the 33 Maveli stores which the former UDF government had closed down. An additional 103 Maveli stores were newly opened in different parts of the state. Another 126 Maveli stores are going to start functioning soon, in panchayat areas where the people do not have this facility. For this purpose, a sum of Rs 50 lakh has been earmarked in the Kerala budget. A number of new super markets have been allowed to function during the last four years. The LDF government has issued 4.5 lakh new kerosene permits. Since the LDF took over, the number of permits issued has been 10.5 lakhs.

The LDF government is trying its best to continue the distribution of mid-day meal to school pupils in the state, in spite of the acute economic crisis arising due to the central policies. The Civil Supplies Corporation distributes rice and other cereals for the purpose. Besides, during festivals like Onam, Bakrid and Christmas, the government distributes five kg of rice to each pupil free of cost. The LDF government increased the ration dealers’ commission twice. A welfare fund was instituted for them. The amount of provisions and cereals distributed during 1995-96 was 10,034 tonnes. This increased to 36,906 tonnes during 1998-99.

The Department of Food and Civil Supplies has assured the people that no food crisis will be allowed in the state. The government is trying to directly get rice from states like Andhra Pradesh and Punjab.