₹1000 Monthly for Ration Card Holders? DBT Plan Targets Subsidy Waste, Improves Quality
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News1829-12-2025, 12:22

₹1000 Monthly for Ration Card Holders? DBT Plan Targets Subsidy Waste, Improves Quality

  • Current ration system faces high costs (₹40/kg rice), significant spoilage (53,000 tons), and 28% diversion, leading to ₹69,108 crore annual loss.
  • Direct Benefit Transfer (DBT) proposed to deposit ₹40/kg directly into Aadhaar-linked bank accounts, empowering beneficiaries.
  • DBT aims to reduce middlemen, prevent misuse, save government costs on storage/transport, and allow people to buy quality food of their choice.
  • Karnataka's 'Anna Bhagya' scheme is cited as a successful model for direct cash transfers, linking people to banking systems.
  • Challenges include gradual implementation, inflation adjustment, banking access in remote areas, and potential diversion of funds for non-food needs.

Why It Matters: DBT could revolutionize the ration system, ensuring direct benefits, quality food, and reducing waste.

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