‘The real design flaw of PMGKAY is its lack of universal coverage’ | Photo Credit: Getty Images
In George Orwell’s Animal Farm, ‘Squealer, the Small Fat Pig’ was a eloquent speaker, always talking to the industrious animals about ‘re-adjustment of rations’, but never as ‘shortage’.
The latest announcement of the government on free food grains is a case of such duplicity. The cabinet has announced that under the new avatar of the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY), 810 million National Food Security Act (NFSA) beneficiaries will get five kg of free food grains every month in 2023. But this quantum was already legally guaranteed under the NFSA Act, a key entitlement of the erstwhile United Progressive Alliance government. The only difference is that in January 2023, a family of five can collect 25 kg for free. Notably, it is short of 50 kg rice (earlier 25 kg free under PMGKAY and 25 kg at Rs 3 under NFSA), which they got from ration shops in December 2022 with a nominal payment of Rs 75. Therefore, a household now has to buy the remaining 25 kg from the market at the cheapest price of ₹450 – which means an additional expense of ₹375 to their monthly budget (calculated at ₹18 for 1 kg, or 25 kg) ₹450 ).
election angle
Of course, the earlier version of PMGKAY could not be extended indefinitely, especially because procurement of food stocks from the 2022 kharif crop was weak. The repeated extensions, for 28 months, seemed to be with an eye on state elections.
The latest adjustments to appeal to voters in nine states going to the polls in 2023 also seem politically motivated. Of course, this new exemption is likely to be extended again by another six months to cover the all-important general elections of 2024.
But this subsidy is double. Only a few months back, the Prime Minister had condemned the ‘revdi’ culture of the opposition parties distributing freebies for votes. Political scientist Steven Wilkinson argues that due to India’s ethnic disparity and increasing electoral competition, all political parties prefer to differentiate themselves on the basis of such protectionist politics. The Bharatiya Janata Party (BJP), too, continues to focus on clientelism. More than 20 central government programs have been renamed or renamed as ‘Pradhan Mantri’.
main drawback
The real design flaw of PMGKAY is its lack of universal coverage, especially as ration records haven’t been updated since the 2011 Census – according to estimates, over 40% of India’s population is currently out of both NFSA and PMGKAY . In many villages and slums, the most marginalized castes and communities, especially migrants, sex workers, the homeless and transgender persons, are often without NFSA ration cards. However, Tamil Nadu, Odisha, Rajasthan, Chhattisgarh and West Bengal have either universal or substantially expanded coverage with state cards.
Even the Supreme Court of India, in an August 2022 order, had directed the central government to expand NFSA coverage. However, based on population estimates, at least 100 million beneficiaries, especially children born in the last decade, are missing from the ration list. But the central government did not pay attention. The only partial exception is Uttar Pradesh, where the BJP state government provided free food grains along with cooking oil, pulses and salt during the COVID-19 pandemic. This is believed to be one of the major reasons for the BJP’s electoral victory in the 2022 Uttar Pradesh Assembly elections.
The central government too has every reason to feel the need to counter the political message of the Bharat Jodo Yatra led by the Congress party. The Padyatra’s message of unity and its emphasis on inflation and unemployment is increasingly resonating with citizens. In 2023, India is projected to overtake China as the most populous country. But with high levels of youth unemployment, this Indian demographic dividend is also turning into a demographic disaster.
weakening of NREGA
The central government has also taken away the 100 days of work guaranteed under the National Rural Employment Guarantee Act (NREGA). This employer of last resort scheme is being systematically undermined by sharp budget cuts, delayed payments and technical roadblocks. In the period 2022-23, only 57 million households received NREGA work as against 73 million last year. In West Bengal, wage payment of ₹2,744 in arrears to laborers has been illegally withheld for an entire year.
As Congress leader Rahul Gandhi described in his speech in front of the Red Fort in December 2022, pickpockets always need to distract their victims. Similarly, the illusion of new free food grain scheme will really hit the exchequer and family budget in the new year. But the million dollar question is, can this political gimmick win votes?
Swati Narayan is faculty at the School for Public Health and Human Development, OP Jindal Global University