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This Article is From Dec 18, 2011

Cabinet to take decision on Food Bill today

Cabinet to take decision on Food Bill today
New Delhi: After addressing concerns of UPA allies and some Congress members, the Cabinet is meeting today to approve the Food Security Bill that aims to provide legal entitlement to subsidised foodgrain to 63.5 per cent of the country's population.

A decision on the draft Food Bill was deferred in the last Cabinet meet earlier last week, reportedly for want of time and also due to concerns raised by Agriculture Minister Sharad Pawar.

In the last three days, Food Minister K V Thomas had met various Cabinet ministers seeking to evolve a consensus by explaining the key provisions of the bill in detail to them.

"I have explained the provisions of the Bill to all the members, including those from allies," Thomas said. He expressed the hope that the draft Bill would get the Cabinet approval.

He said once the Cabinet approves the bill, the Ministry would finalise the draft Bill and try to introduce it in the winter session of Parliament as promised.

After introduction, the Bill is expected to go to Parliamentary Standing Committee and the UPA government would try to get it passed in the Budget session, sources said.

The National Food Security Bill, considered the greatest experiment in the world to provide food security to the poor, is a pet project of Sonia Gandhi-led National Advisory Council. It was a promise made by the Congress Party in its manifesto of the 2009 general elections.

Under the proposed law, beneficiaries have been divided into priority households and the general households.

Priority households are those below poverty line families in the existing public distribution system, while general households are above poverty line families.

In rural areas, up to 75 per cent of the people will be covered by the Bill out of which at least 46 per cent will be in priority sector. In the urban centres, it will cover up to 50 per cent of the populace out of which at least 28 per cent will be in priority sector.

The bill seeks to provide seven kilograms of rice and wheat to per person per month to priority households at Rs three and Rs two per kilograms, respectively. Persons under the general households would get at least three kilograms at 50 per cent of the minimum support price.

Once the law is implemented, the food subsidy bill is expected to go up to about Rs 95,000 crore from Rs 63,000 crore in the last fiscal, while foodgrains requirement would go up to 61 million tonnes from 55 million tonnes.

Under the present Public Distribution System (PDS), the government provides 35 kg of wheat and rice per month to 6.52 crore Below Poverty Line (BPL) families at Rs 4.15 and Rs 5.65 per kg, respectively. About 11.5 crore APL (Above Poverty Line) families gets between 15 and 35 kg of wheat and rice per month at Rs 6.10 and Rs 8.30/kg, respectively.

The bill provides for cash reimbursement if the government fails to provide subsidised foodgrains because of natural calamities such as drought and floods.

Under the proposed Bill, ration card would be issued to the eldest female member of the family.

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