Budget 2016: Modi government is going to pump a whooping Rs 130,000 crore in National Food Security Act

In an effort to shed its image of ‘government for riches’ and feed the hungry, Prime Minister Narendra Modi is planning to step up the allocation for National Food Security Act (NFSA) like never before.

As per reports, Modi government is likely to announce Rs 130,000 crore for NFSA, which is much more than what was earmarked for this year’s budget at Rs 124,419 crore.

The allocation, which will come into effect from April 1, will benefit over 70 crore people across 27 states and Union Territories.

Also, with more allocation, Modi yet again is riding on UPA’s schemes as the NFSA was launched during the Congress-led government’s regime.

The NDA government has earlier used Aadhaar and MGNREGA schemes to its benefits.

"What we are looking at is ending hunger and ensuring that every citizen of the country has two meals a day. The PM is looking at this as entitlement of the poor," a top government official told ET on condition of anonymity.

Recently, Modi had slammed ideological opposition in few quarters to all kind of subsidies, saying his government would rationalise subsidies and target them at the needy.

Modi personally took cognizance of the NFSA’s implementation and also asked about the progress in different states.

People covered under the NFSA get coarse grain at Rs 1 per kg, wheat at Rs 2 a kg and rice at Rs 3 a kg.

Still, Modi government has a long way to go as the scheme is not implemented in many states, which invited wrath of the Apex Court.
Nine states and Union Territories are still to implement the Act.

To implement the scheme, the government is riding on digitisation led by National Informatics Centre.

"The entire process of grains moving from godowns to shops to the beneficiary is captured online. Even the electronic receipts given to beneficiaries and closing balance of shops are up for public scrutiny. This data and automation of process has also made the allocation of foodgrain and their release to district administration easier," one official told ET.

(Image: Indiatimes)