Pranab banks on Aadhar to reform public distribution system

Reforming the delivery mechanism is key to an effective, transparent and inclusive public distribution system in the country and the main challenge before the PDS today is reaching foodgrains to the actual beneficiaries without leakages and diversion en route to the grass-root level, finance minister Pranab Mukherjee said today.

Digitising the database of beneficiaries and computerisation of the entire food supply chain will remain the main stepping-stones to making the PDS successful, he said.

The finance minister was addressing a conference on public distribution system in the capital.

PDS faces challenges like leakages and diversion of foodgrains, inclusion/exclusion errors, fake and bogus ration cards, lack of transparency, weak grievance redressal and social audit mechanisms, viability of fair price shops, etc,'' he said, adding that the best way to address these is through leveraging Aadhar for unique identification.

''Leveraging Adadhaar is one of the critical components in reforming the PDS. The beneficiaries of PDS can be enrolled into the Aadhaar system,'' Mukherjee said.

It is a complex and challenging task as PDS operates in 35 states and UTs through more than 5 lakh fair price shops across diverse operating environments.