The government has decided to distribute cash instead of rice and wheat under the test relief and Food for Work programmes (Public Food Distribution System, shortly PFDS).
This new initiative has many dimensions. Firstly, the government has been compelled to take the decision because the public food grain stock has been shrinking amid sluggish procurement pace. If more food grain is allocated under the PFDS, the more risk of food shortage there will be in the country.
Under the rural infrastructural development project, the government provides 300-400 thousand (3-4 lakh) tonnes of rice and wheat as part of short-term employment for the poor. For the current fiscal, the government has allocated Tk 16 billion (Tk1,600 crore) for the project.
There is a shortage in the government’s food grain stock as a result of losing targets set for the Boro and Aman procurement. Till July last year, there were 1.18 million (11 lakh and 88 thousand) tonnes of rice at the government’s food stock. The amount decreased to 0.64 million (six lakh and forty seven thousand) tonnes in February. In June 2019, the food grain stock was 1.67 million (16 lakh and 74 thousand) tonnes.
The current food stock situation cannot be termed as risk-free. In this circumstance, distribution of food grain as wage would make the food stock insecure. We think the government has taken the perfect decision.
Meanwhile, it is important to note that the government needs to be proactive in food procurement. Why does the target of food procurement remain unmet? Doesn’t the government set it on real grounds? Persons behind the failure must be interrogated. Food department’s failure in meeting the procurement target makes the marginalised farmers losers and benefits the rice mill owners and the hoarders.
Due to limited procurement of paddy, the farmers often are compelled to sell their produce to the rice mill owners at cheapest price because they have no storage facilities. Farmers in India and other countries can store their produces on cooperative-basis. We need to pay attention to such ideas.
Although the food secretary Mosammat Nazmanara Khanum said that distribution of cash instead of food grains as wages is valid for the current year, she hinted about restoration of food grain distribution from the next year. But some economists believe that cash for work is much more beneficial. Firstly, food grain distribution requires excess manpower, infrastructure and transport cost. On contrary, cash distribution will cut the costs and not allow the local representatives grab the due share of the poor.
Cash will be distributed among the workers directly through the digital financial services. Why can the beneficiaries not be paid like the farmers who receive subsidies through their bank account?
We welcome the government’s latest decision. Now, consistent monitoring is a must so that poor workers can properly collect the allocated cash meant for them.