Ministry Of Consumer Affairs, Food And Public Distribution Names Free Grain Scheme As Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY). 

Why in news?

• Centre has named its new integrated food security scheme for providing free foodgrains to Antodaya Ann Yojna (AM) and Primary Household (PHH) beneficiaries under National Food Security Act (NFSA), 2013 as PMGKAY.
• It’ll strengthen provisions of NFSA, 2013 in terms of accessibility, affordability and availability of foodgrains for poor.
• It will subsume two subsidy schemes of Department of Food & Public Distribution
• Food Subsidy to FCI: It is in form of consumer subsidy (Difference between Economic cost incurred by FCI and realized Central Issue Price) and buffer subsidy (Cost of holding and maintaining buffer stock).
• Food Subsidy for decentralized procurement states dealing with procurement, allocation and delivery of free food grains to states under NFSA.
• Earlier, scheme with similar name (PMGKAY) was implemented during Covid-19 pandemic.

What is the difference between two schemes?

• Earlier, NFSA beneficiaries were getting food grains entitlement (35 kg per AAY Household and 5 kg per person to PHH) at subsidized rate (Rs 3/kg rice, Rs 2/kg wheat and Rs 1/kg coarse grains).
• Now, government has done away with subsided prices and is providing foodgrains free of cost for an year. However, additional quantity of 5 kg foodgrains will not be provided.