ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846
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Agflation and the Public Distribution System

The demand for "universalisation" of the public distribution system during a period of rising prices is not relevant since, more than four-fifths of households in rural areas and two-thirds in urban centres are already covered by it. Yet, a very small proportion of rural/urban households actually make purchases of either rice or wheat from the PDS; an insignificant amount of consumption is met by ration shop purchases. The pattern is somewhat better for below the poverty line households with ration cards. What all this shows is that the issue is not universalisation but improved functioning, greater efficiency and BPL-friendliness of the PDS.

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