No Immediate Margin Hike for Fair Price Shops, Says Food Minister

Food Minister Pralhad Joshi stated that there are no immediate plans to increase margins for fair price shops under the Targeted Public Distribution System. While central guidelines exist, states have the flexibility to set higher rates. The central government assists states with expenses related to foodgrain handling and FPS dealer margins.

In a recent session of the Lok Sabha, Food Minister Pralhad Joshi clarified that the central government is not considering a proposal to increase the margins for fair price shop (FPS) dealers. These dealers are part of the Targeted Public Distribution System (TPDS) operated in cooperation with state governments.

Joshi highlighted that while the central government has set guidelines, state governments maintain the authority to determine the actual margins, allowing them to exceed the central norms if necessary. The latest margin rates, revised in April 2022, stipulate Rs 90 per quintal and additional Rs 21 for general and Rs 180 plus Rs 26 for special category states.

The central government continues to support states in managing the logistical and financial aspects of TPDS. Responsibilities such as licensing, supervision, and monitoring of fair price shops are solely the purview of state and union territory governments, according to Joshi.

(With inputs from agencies.)