Ration Card Holders May Get ₹1,000 Monthly via DBT, Revamping Food Subsidy

• Government considers Direct Benefit Transfer (DBT) to replace the current ration system, aiming to deposit ₹40 per kg directly into beneficiaries' accounts.
• Current system faces significant losses: 53,000 tonnes of grain spoiled (April-Oct 2025), 28% of subsidized grain doesn't reach the needy, costing ₹69,108 crore annually.
• DBT could provide a family of five with approximately ₹1,000 monthly, allowing them to buy quality food of their choice and reducing corruption.
• The 'Anna Bhagya' scheme in Karnataka serves as a successful model for direct cash transfers, improving food quality and financial inclusion.
• Challenges include gradual implementation, inflation adjustment, banking access in remote areas, and ensuring funds are used for food.

Why It Matters: DBT could revolutionize India's ration system, ensuring direct benefits, reducing waste, and empowering beneficiaries.