A major setback could be in store for poor and ration card-holding families in Madhya Pradesh, as the supply of subsidised sugar through Public Distribution System (PDS) ration shops is set to stop from September 1. Million families across the state have been using the sugar which is available at the price of Rs 20 per kg.
The state government has taken the decision based on directives from the Centre, the information said. It is anticipated that over 72 lakh people who are relying on subsidised food supplies, namely Antyodaya, BPL and priority households, will be affected by the move.
One of the reasons given for the decision was the need to control availability and prices of sugar in the country. Meanwhile, the Centre has tightened the regulations regarding hoarding and black marketing of sugar.
The new advisory stipulates that large traders and wholesale consumers having a consumption quantity more than 10 metric tonnes per month will not be permitted to store sugar in their warehouses more than 10 metric tonnes at a stretch. They will also have to liquidate the authorized sales after 15 days. Issued stocks in excess of the limit can be seized by authorities.
As per reports, the government will keep a watch on the sugar sale by cross-checking records from the sugar mills, GST returns and HSN codes.
The problem has also sparked a political discussion in Madhya Pradesh. Congress has lodged its objections to the government on the issue of ending the subsidy on sugar as it believes the hiked prices will further add to the financial burden of the common people. The BJP-led NDA Government, however, is likely to stand up for the measure as part of its measure of control over the sugar market and stop hoarding.