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May 15, 2010

Galloping inflation and food security for poor

Controlling the galloping inflation and ensuring food security for the poor has become a cause of constant worry for the UPA government .Any default on this front may soon translate into political consequences since elections in Bihar , Bengal and Tamil Nadu will be held, year after year, in the run up to the general elections.

Government is thus ready with the roll out of 'Food Security Bill' that may soon be enacted as law by Parliament.

The PDS (Public distribution System) contemplated to be implemented envisages delivery of food grains to the BPL families at Rs 3 a Kg. Government is also considering bringing urban poor within the ambit of this scheme. But such systems being always notoriously infested with frauds and scams has kept the government over-cautious over implementation of the scheme which has now decided to significantly involve the agency of Comptroller and Auditor General to transform it into effective tool for ensuring food distribution in a fair and meticulous manner.

The checks may include
1. Verification of the lists of beneficiaries
2. Control over quantity of food grains, lifted from Food Corporation of India.
3. And how much of it went to be beneficiaries

Surveys so far conducted revealed that a large percentage of beneficiaries do not receive regular supply of grains and accounts are falsified to conceal the fraud. Overcharging of rates had also been reported.

A vigilant and stern administration over the system would appear to be imperative. Any default on this front should be ruthlessly dealt with lest it should translate into big political liability.

Apart from his ,controlling inflation by ensuring supply side in the market, devising conducive monetary policies, curbing evils of hoarding and games of speculators and market manipulators should be under the constant eye of the concerned departments. Even loose hints by the politicians that may add to inflationary trends in the food markets should be scrupulously avoided.
Published at
09/04/2010 in
http://samaylive.com/english/nation/articles/676461038.html

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