Karnataka to give cash in lieu of additional rice under Anna Bhagya Yojana amid procurement problems

This will be in addition to 5 kg of grains that beneficiaries already receive under a Union government scheme that subsumed Karnataka’s scheme during the Covid-19 pandemic.

Also read: ‘There should be no hate politics over Anna Bhagya’

Scheme stymied by Union government

Karnataka’s plans to roll out Anna Bhagya with increased quantity of grains hit a roadblock when Union government ordered the Food Corporation of India (FCI) to stop selling rice and wheat to state governments under the Open Market Sale Scheme (OMSS).

This happened barely a day after the FCI had agreed to sell rice to Karnataka, leading the Congress to charge the Union government of deliberately seeking to scuttle the scheme, and Siddaramaiah himself asking Union Home Minister Amit Shah not to play “hate politics” over a scheme meant to benefit the poor.

After the state government failed to procure the 2.28 lakh metric tonnes required to launch Anna Bhagya on 1 July, the government decided to pay money to all BPL card-holders until the rice was procured, he said.

The Siddaramaiah government announced this decision after it couldn’t come to an agreement on the pricing of the rice with three central agencies: Kendriya Bandara, National Agricultural Cooperative Marketing Federation of India (NAFED), and National Cooperative Consumers’ Federation of India (NCCF).

This came after Union Minister for Consumer Affairs, Food, and Public Distribution Piyush Goyal, in a meeting with Karnataka Minister for Food and Civil Supplies KH Muniyappa on 23 June, said the Food Corporation of India (FCI) did not have enough stock of rice to supply to Karnataka.

5 ಕೆ.ಜಿ ಅಕ್ಕಿ ಕೊಡಿ, ಉಳಿದ 5 ಕೆ.ಜಿ ಅಕ್ಕಿ ಕೊಡಲು ಆಗದಿದ್ರೆ ಹಣ ಕೊಡಿ ಎಂದು ನಮಗೆ ಬಿಟ್ಟಿ ಉಪದೇಶ ನೀಡುವ ಬಸವರಾಜ ಬೊಮ್ಮಾಯಿ, ಯಡಿಯೂರಪ್ಪ ಮುಂತಾದ ಬಿಜೆಪಿ ನಾಯಕರು ಒಂದು ಬಾರಿಯೂ ಇದು ಬಡವರಿಗಾಗಿ ರೂಪಿಸಿರುವ ಕಾರ್ಯಕ್ರಮ, ಕರ್ನಾಟಕಕ್ಕೆ ಅಕ್ಕಿ ಕೊಡಿ ಎಂದು ಕೇಂದ್ರ ಸರ್ಕಾರವನ್ನು ಒತ್ತಾಯಿಸಿಲ್ಲ.

ಇದು ರಾಜ್ಯ @BJP4Karnataka ನಾಯಕರ…

— Siddaramaiah (@siddaramaiah) June 28, 2023

Related: Congress accuses Union govt of ‘sabotaging’ Anna Bhagya

Cash instead of rice

On Wednesday, announcing the Cabinet decision, Siddaramaiah said: “We will transfer the announced sum directly to the bank account of the heads of the family (as per the BPL card). We will pay the beneficiaries until the required amount of rice is procured.”

“We have promised to give 10 kg of food grains. The Union government is already providing 5 kg of rice. For the remaining 5 kg, the state government will pay ₹170 directly to the account of the head of the family.”

He added: “The BJP in the state should have talked to the Union government about giving rice to the poor. I met Union Home Minister Amit Shah and requested him to supply rice. Despite having stock, they are not supplying rice to Karnataka.”

He said: “We sought quotations from the three central agencies: Kendriya Bandara, NCCF and NAFED. However, they quoted a high price. In April, the NCCF supplied rice to the state for ₹32.94 per kg, including 70 paise for the gunny bag in which the rice used to be supplied. I asked them to supply it at ₹32.24, but they didn’t agree.”

The chief minister continued: “Hence, we have decided to call for an open tender to procure rice. I have also directed that the tender be called on Thursday. We also approached the other state governments, including Telangana and Punjab, but they don’t have sufficient stock, and the price would be high as well.”

He also said: “The state needs 2.28 lakh metric tonnes of rice every month [for the Anna Bhagya scheme], which no state can supply. We have decided to procure from the open market.”

Also read: ‘Karnataka to take all measures to curb fake news’

Other Cabinet decisions

Siddaramaiah chaired a Cabinet meeting at Vidhana Soudha on Wednesday. The government took some major decisions at the meeting.

These included approving the Karnataka Goods and Service Tax (Amendment) Act of 2023 and deciding to set up a Cabinet subcommittee to look into the implementation of various irrigation projects on the Krishna, Mahadayi, and Kaveri rivers.

Minister for Law and Parliamentary Affairs HK Patil said: “The GST Council has made some amendments and asked us to approve them. We have not approved two amendments. In the upcoming GST council meeting, we will re-propose these two amendments.”

Also read: Karnataka police register FIR against Amit Malviya

Gruha Lakshmi launch postponed

In the last two weeks, the state government postponed the launch of the Gruha Lakshmi scheme for the third time, and is yet to announce a final date.

In Wednesday’s Cabinet meeting, the Karnataka government discussed the launch and implementation of Gruha Lakshmi, but did not come to a conclusion on announcing the launch date.

Under this scheme, the Congress has promised to provide ₹2,000 every month to the woman head of the family. This is applicable only for BPL and APL card-holders.

Karnataka Minister for Women and Child Welfare Laxmi Hebbalkar told reporters in Bengaluru after Wednesday’s Cabinet meeting: “The chief minister has given a nod to accept applications for the scheme. It is being delayed due to technical reasons like server problems.”

She added: “The next Cabinet meeting is scheduled on 3 July. The final call is likely to be taken in that meeting. Irrespective of the delay, the government will credit the promised amount to the woman head of the family in August.”

Also read: Skyrocketing vegetable prices devastate South India

Setting up subcommittees

The Siddaramaiah government also decided to set up two Cabinet subcommittees to look into the implementation of irrigation projects and review the cases filed against the agitators, including farmers.

Minister HK Patil told reporters after the meeting: “In order to review the implementation of tribunal awards and irrigation projects regarding the Krishna, Mahadayi, Cauvery and other rivers, the government has decided to set up a Cabinet subcommittee. The chief minister approved the proposal put up by the Department of Water Resources.”

He added: “It has also been decided to constitute another Cabinet subcommittee to review the demands of withdrawing cases that are registered against various associations and organisations, including farmers’ associations. The subcommittee will also review the ongoing cases in the courts against the agitators.”

Patil continued: “The Cabinet has also given the power to the Chief Minister to appoint the members for both the subcommittees.”

The government also decided to set up another Cabinet subcommittee to review the mega investment proposals for the state and sanction special incentives and concessions.

The Cabinet also gave administrative approval for the ₹106-crore drainage works in the Anekal taluk of the Bengaluru Rural district.

The government has also decided to amend the Karnataka Transparency in Public Procurement Act of 1999 to increase the tender amount from ₹50 lakh to ₹1 crore for SC/STs.

At present, 24.10 percent of public works under ₹50 lakh are reserved for the SC/STs under the KTPP Act.

Of the total 24.10 percent, 17.15 percent tenders are reserved for SCs, and 6.95 percent for STs.