PMGKY: Pradhan Mantri Garib Kalyan Anna Yojana is a vital scheme under the Atmanirbhar Bharat initiative aimed at providing free food grains to our migrant workers and those facing financial hardship. Its various phases have been instrumental in offering support during challenging times. From its initial phases in 2020 to its recent extension until December 2023, the PM-GKAY has been a lifeline for millions across the country, ensuring they have access to essential food supplies during the toughest periods. Now, with its extension for another five years starting from January 1, 2024, the government is committing substantial resources, approximately Rs. 11.80 lakh crore, to continue this crucial support system for the most vulnerable sections of our society.
Benefits for PMGKY
- Over 813.5 million people will receive 5 kilograms of free wheat or rice per person every month.
- Additionally, each family will get 1 kilogram of free whole chana (chickpeas) per month.
- Six States/Union Territories—Punjab, Haryana, Rajasthan, Chandigarh, Delhi, and Gujarat—will receive distributions of wheat.
- We will allocate rice to the remaining States/Union Territories.
- This assistance is in addition to the regular monthly entitlements provided under the National Food Security Act, 2013 (NFSA).
Eligibility for PMGKY
Families falling under the Below Poverty Line (BPL) – Antyodaya Anna Yojana (AAY) and Priority Households (PHH) groups will qualify for the scheme. State Governments/Union Territory Administrations will determine PHH based on their devised criteria. States/UTs will identify AAY families according to criteria set by the Central Government.
- Families headed by widows, terminally ill individuals, disabled persons, or individuals aged 60 years and above without assured means of support.
- Individuals such as widows, terminally ill individuals, disabled persons, those aged 60 years and above, single women, single men without family or societal support, or assured means of subsistence.
- Rudimentary tribal households.
- Landless agricultural laborers, marginal farmers, rural artisans/craftsmen (e.g., potters, tanners, weavers, blacksmiths, carpenters), slum dwellers, and those earning daily wages in the informal sector (e.g., porters, coolies, rickshaw pullers, handcart pullers, fruit and flower sellers, snake charmers, rag pickers, cobblers, destitutes) in both rural and urban areas.
- All eligible BPL families of HIV-positive individuals.
Challenges
- The beneficiaries of the National Food Security Act are determined using data from the most recent census, which was conducted in 2011.
- Since the last census, there has been an increase in the number of people facing food insecurity.
- Unfortunately, due to this increase, many food-insecure individuals remain uncovered by the provisions of the Act.
Issues
Affordability Concerns: The government faces significant challenges in sustaining the current program due to its high costs, which underscores the urgent need for a steady supply of affordable grains. This pressure has been exacerbated by recent weather fluctuations in India, leading to a reduction in wheat and rice exports. Consequently, this has contributed to global agricultural market instability and put additional strain on food prices.
Fiscal Deficit Risks: Implementing this program at its current scale could potentially widen the government’s fiscal deficit, making it harder to achieve the target of reducing it to 6.4% of the gross domestic product. This fiscal concern underscores the need for careful financial management and strategic decision-making.
Inflation Impact: The decision regarding the program also carries implications for inflation rates. Given that rice and wheat constitute a significant portion of India’s retail inflation basket, any changes in their availability and pricing can directly influence overall inflation levels. Factors such as adverse weather conditions and erratic monsoons have already contributed to lower production, leading to a rise in prices for these staple grains.
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