The Hindu : Andhra Pradesh News : Village Organisations to ensure regular supply of rations

Online edition of India's National Newspaper
Monday, Oct 11, 2004

Andhra Pradesh

Andhra Pradesh

Village Organisations to ensure regular supply of rations

By Ravi Reddy

HYDERABAD, OCT. 10. Thanks to the initiative taken by Village Organisations (VOs), more than six lakh families below the poverty line in 6,000 villages across the State will be assured regular supply of monthly rations.

Representing 15 to 20 self-help groups in each village, these VOs have decided to lift the Public Distribution System (PDS) entitlement of members every month in a single go.

The BPL families no longer have to run from pillar to post to raise money to buy rations when stocks are available in the nearest Fair Price shop.

Earlier, they had either to forego their monthly ration quota, as they did not have the money to buy the provisions on high cost credit. The failure of families to buy the provision was a boon to Fair Price dealers, as they could divert the ration into the market.

SERP pilot project

Encouraged by Society for Elimination of Rural Poverty (SERP), the VOs have started purchasing the rations based on the indent given by the villagers. They supply rations to eligible members on credit and collect dues as and when the families have money.

Started on a pilot basis in Guntur district last year, this community-managed food security programme evoked a tremendous response. It benefited more than 1.22 lakh families in 22 mandals.

SERP officials replicated the experiment in Nizamabad, Medak, Mahabubnagar, Adilabad, Chittoor, Anantapur, Srikakulam and Vizianagaram districts by introducing the rice credit line system. The VOs have also started purchasing the balance ration requirements of the families from the open market. They are negotiating directly with rice mills and wholesale merchants to provide the commodities at affordable prices and also earn a small profit.

The SERP Chief Executive, T. Vijay Kumar, told The Hindu that 6,000 villages would be covered under the programme in the next one year. The VOs would be provided Rs. 30 crores as revolving fund for the purchase of rice and other essential commodities. He said the repayment by the beneficiaries was prompt.

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