Structural Adjustment, Food Security and System

Structural Adjustment, Food Security and System of Public Distribution of Food Madhura Swaminathan In many countries, a reduction in food subsithes has occurred as part of programmes of orthodox structural adjustment and has adversely affected consumption and nutrition. In India, too, consumer food subsithes have fallen since 1991. The reduction in food subsithes has come about, despite little change in the budgetary allocation to food subsidy', by means of sharp price increases for commodities sold in fair-price shops, by a fall in quantities supplied to the system of public distribution, and by a reduction in entitlements in certain cases. In a period of low growth and high inflation, the public distribution system failed to ensure that the prices of major food staples were low and stable.