Differences between the Sonia Gandhi-led National Advisory Council and Prime Minister Manmohan Singh’s expert panel on the proposed National Food Security Bill (NFSB) forced the advisory body to extend the time limit to seek public opinion from end of February to March 7.
An expert panel headed by C. Rangarajan, chief of PM’s economic advisory council, had expressed reservations on the NAC’s recommendations on the proposed NFSB, which seeks to provide subsidised grains to around 75 per cent of the population.
According to the Rangarajan panel, the grain requirement to roll out the NFSA would be 68.76 million tonnes against an availability of 56.35 mt and would cost around `85,584 crore.
Brushing aside these objections, the NAC on Saturday came out with the rationale of its recommendations, stating that the initial requirement of food grains to roll out the NFSA would be 57.4 million tonnes and will go up to 64 mt when it is fully implemented. This included both the public distribution system and the allocations for other welfare schemes like the mid-day meal and integrated child development services. Countering Rangarajan panel’s apprehensions, the NAC said increasing food procurement from the current 57.4 mt to 65 mt would not be difficult and would have no negative impact on the prices of grains. The NAC further said that food subsidy to roll out the NFSA would go up by `15,000 crore initially and by `23,000 crores in the final phase, from `56,000 crores at present. Sources said extending the time limit to seek public opinion till March 7 would allow the government to reconcile the differences between the PM’s panel and the NAC.
After that date, the NAC working group on food security will start preparing the draft bill.