S Gopalakrishnan, president, CII, in his comment on passage of the food security Bill in the Lok Sabha, said, “Food security is extremely important. With a significant section of the population living below the poverty line, government intervention to provide nutritious food is essential.”
However, Gopalakrishnan said, there were concerns. “Such a large outlay at this point would definitely have a negative impact on the fiscal deficit. This needs to be managed. The larger concern is regarding the effective implementation of such a high-profile and critical social agenda of the government.”
Further, the CII President said use of the Public Distribution System raised questions about the efficacy of the model. Targeting is another area needing special attention. CII hopes appropriate focus would be given to these aspects — mainly that of targeting, so that the needy could benefit from this programme, he added.
Rajat Wahi, partner and head of consumer markets, KPMG in India, said, “We feel this Bill would go a long way in eradicating hunger among children and women, in empowering women over 18, and in raising the nutrition levels in children and expectant mothers. Being the largest programme of its kind anywhere in the world, it would be a great example to the world if we can execute this well. The Bill would also provide a strong impetus to the economy, as it should free some of the non-discretionary income of the poorer sections of society, and allow them to spend this on other non-essential products, which should boost sales for the FMCG/food companies. Finally, if it is implemented according to plan, it would allow the food to go to people who need it, rather than being wasted and left rotting in warehouses/godowns. The government should ensure that they have the checks and balances in place to ensure there is minimum leakage and wastage and severe penalties for people who abuse it.”
Maharashtra Chief Minister Prithviraj Chavan said the Food Security Act would bring in a sea change at the social and political level as nobody would starve. “The Food Security Act would transform the lives of many.It has received admiration from the United Nations and therefore, is quite important at the global level.”