Telangana Joins Free Rice Scheme

January 5, 2023

The Telangana government has recently made the decision to join the free rice scheme of the Central government under the National Food Security Act (NFSA). This initiative aims to provide assistance to families in need by distributing free rice to those who are eligible under the NFSA. The Telangana government’s decision to join this scheme demonstrates a commitment to addressing issues of food security and poverty in the state.

Details of the Scheme

The Central scheme envisages the supply of five kilograms of rice per person per month to 54.44 lakh NFSA cardholders in the state. However, the Telangana government will extend this benefit to an additional 35.52 lakh cardholders, at its own cost.
Previously, both types of cardholders were receiving free rice under the Prime Minister’s Garib Kalyan Anna Yojana, which is a part of the Public Distribution System (PDS). The Central government used to supply this rice at a subsidized price of ₹3 per kilogram. However, the Telangana government added its own subsidy of ₹2 per kilogram and distributed the PDS rice for only ₹1 per kilogram.
Effective January 1, rice will be completely free under the Central scheme. As a result, the Telangana government will bear the additional cost of ₹1 per kilogram and will begin distributing free rice to all 89.96 lakh cardholders from January 5.

Uncertainty Surrounding Amount of Rice Supplied

It is currently unclear whether the state government will continue to supply six kilograms of rice per person per month, as it did under the PMGKA, or if it will restrict this amount to the five kilograms specified under the NFSA.

The Telangana government has made the decision to join the free rice scheme of the Central government under the National Food Security Act in order to provide assistance to families in need. Although there is some uncertainty surrounding the amount of rice that will be supplied, the state government is committed to distributing free rice to all cardholders starting on January 5.

About PMGKAY

In March 2020, during the initial phase of the COVID-19 pandemic, the central government had announced the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) welfare scheme. Initially, the scheme was planned for a period of 3 months but since then, it has been extended several times.
This scheme looked to provide every individual covered under the National Food Security Act, 2013 (NFSA) with an additional 5 kg of grains (rice or wheat) free of cost, along with the 5 kg of subsidized food grain that is already being provided through the country’s Public Distribution System (PDS). It covers people belonging to Below Poverty Line – Antyodaya Anna Yojana (AAY) and Priority Households (PHH) categories.
It also covers other vulnerable people like widows, terminally ill, elderly, landless agricultural labourers, primitive tribe households, informal sector workers etc. More than 81.35 crore people are benefiting from this scheme. Wheat has been allocated for 6 states and union territories and rice has been provided for the rest. This supplements the monthly entitlements under the NFSA.

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