The Centre will spend Rs 93,869 crore this 12 months to supply 5 kg of foodgrains per 30 days freed from price to over 80 crore individuals throughout May-November for offering reduction to poor amid the second wave of COVID-19, the finance minister stated on Monday.
Last 12 months, the Centre had launched the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) to supply free foodgrains to over 80 crore beneficiaries coated below the National Food Security Act (NFSA), as a part of its effort to scale back the hardships of individuals through the pandemic.
The scheme was operational throughout April-November interval of 2020.
After the outbreak of the second wave in April 2021, the PMGKAY scheme was reintroduced, initially for May-June after which prolonged until November this 12 months.
Addressing a press convention to announce recent stimulus measures for the financial system, Finance Minister Nirmala Sitharaman stated the estimated monetary implication for offering free foodgrains is Rs 93,869 crore for this 12 months.
The Centre spent Rs 1,33,972 crore final fiscal on this scheme.
The whole monetary implication is estimated at Rs 2,27,841 crore for PMGKAY, Ms Sitharaman added.
The scheme has been reintroduced to minimise the financial hardships being confronted by the susceptible PDS (Public Distribution System) beneficiaries through the second wave of the COVID-19 pandemic.
Earlier this month, Prime Minister Narendra Modi whereas addressing the nation had introduced that the Centre’s free meals programme PMGKAY shall be prolonged for 5 months until Diwali.
Five kgs of foodgrains per particular person per 30 days is supplied freed from price below the PMGKAY to 81.35 crore beneficiaries coated below the NFSA.
This is over and above the distribution of 5 kg foodgrains per particular person each month at extremely subsidised charges of Rs 1-3 per kg through ration retailers to NFSA beneficiaries.
Ms Sitharaman additionally highlighted that wheat procurement has touched an all-time excessive of over 432 lakh tonnes within the rabi advertising and marketing season of 2021-22. Wheat farmers have been paid Rs 85,413 crore.
The finance minister additionally introduced that the federal government has supplied a further subsidy quantity of Rs 14,775 crore for DAP and different advanced fertilisers below the Nutrient Subsidy Scheme (NBS).
The NBS subsidy has been raised to Rs 42,275 crore this fiscal from Rs 27,500 crore within the earlier 12 months.
Minister of State for Finance Anurag Thakur stated out of the whole Rs 14,775 crore of extra subsidy, Rs 9,125 crore is in the direction of DAP (Di-ammonium phosphate) and Rs 5,650 crore for NPK primarily based advanced fertilisers.
Recently, the Union Cabinet accepted hike in subsidies for DAP and complicated fertilisers by Rs 14,775 crore to maintain the worth of crop vitamins for farmers low regardless of the rising prices.
After urea, DAP is probably the most broadly used fertiliser within the nation.
Last month, the Centre determined to extend subsidy on DAP fertiliser by 140 per cent. The resolution was taken at a high-level assembly chaired by Prime Minister Narendra Modi.
(THIS STORY HAS NOT BEEN EDITED BY INDIA07 TEAM AND IS AUTO-GENERATED FROM A SYNDICATED FEED.)