New Delhi: The Union Cabinet on Wednesday approved continuation of the ‘Sarthak-PDS’ scheme with an outlay of ₹25,530 crore for five years to support intra-state movement of foodgrains and modernisation of the public distribution system.
The decision was taken by the Cabinet Committee on Economic Affairs chaired by Prime Minister Narendra Modi. It includes revised norms for Central assistance to States and Union Territories towards intra-state movement and handling of foodgrains, and margins for fair price shop (FPS) dealers, while retaining the existing funding pattern.
The scheme integrates two existing programmes — assistance to state agencies for intra-state movement of foodgrains and FPS dealers’ margin under the National Food Security Act (NFSA), and the SMART PDS scheme — into a single umbrella framework. It will be implemented till March 31, 2031.
Union minister Ashwini Vaishnaw said the approval covers the entire PDS value chain, from beneficiary identification to transportation and feedback systems. He said the scheme would address difficulties faced by States in bearing transportation costs and enhance remuneration for FPS dealers.
The scheme aims to provide assured financial support for intra-state movement, handling and dealer margins, while building a unified, citizen-centric and interoperable PDS architecture to strengthen last-mile delivery and reduce leakages.
It also envisages use of technologies such as artificial intelligence, machine learning, natural language processing and blockchain for system modernisation. Key components include unified databases, real-time monitoring systems, AI-based grievance redressal and State-level command control centres.
The scheme is aligned with the government’s commitment under the National Food Security Act, covering about 81.35 crore beneficiaries.
Officials said it builds on earlier reforms such as end-to-end computerisation of the Targeted Public Distribution System, Integrated Management of PDS and SMART PDS, including digitisation of ration cards, Aadhaar seeding and automation of fair price shops through electronic point-of-sale devices.
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