- Standing Committee on Consumer Affairs, Food and Public Distribution submits report on ‘Transforming Fair Price Shops (FPSs)’.
As per the National Food Security Act, 2013, FPS refers to shops licensed to distribute essential commodities to ration card holders under the Targeted Public Distribution System (TPDS).
- Such license is issued by an order under section 3 of Essential Commodities Act (ECA), 1955.
- ECA provide for regulating control of production, supply, distribution, and trade of certain commodities in the general public interest.
- Launched in 1997 TPDS provides for lower subsidised food prices for Below Poverty Line (BPL) families than those for Above Poverty Line (APL) beneficiaries
Key issues with FPS: Leakages and diversion of food grains, financial non-viability of FPS, etc.
Recommendations for transforming FPS
- Increase sales of non-PDS commodities such as Khadi & Ayush products from MSMEs
- Form a monitoring cell to track the progress of model FPS in all states.
- Improve working of Vigilance Committees (VCs) established under NFSA.
- VCs are established by State Governments at the State, District, Block and FPS levels to ensure transparency and accountability of the functionaries in TPDS.
- Ensure all ePoS machines are connected to and synchronized with weighing machines for effective delivery of ration.
Efforts to transform Fair Price Shops (FPS) in India:
- 43,000 FPSs have been enabled as Common Service Centers (CSCs) to serve as access points for various Business-to-Consumer (B2C) and Government-to-Consumer (G2C) services.
- Mudra loans are being provided for capital augmentation and business diversification.
- The Targeted Public Distribution System (TPDS) Control Order 2015 allows the sale of non-PDS items at Fair Price Shops, such as salt and spices.
- 3,200 FPSs have been enabled as banking correspondents to provide banking and financial services.
- Other efforts include automation of FPS and implementation of ONORC (One Nation One Ration Card) for smooth and transparent functioning.
