Two Decades of Geographical Targeting in Food Distribution: Drawing Lessons from an Indian State

Abstract

Reports emerging from recent studies on public distribution system (PDS) in India show significant improvements in consumption of food grains distributed through the PDS. Odisha is categorized as one of the states which has seen some sort of a revival of PDS (Khera, 2011). This article takes a long-term view of PDS in the State of Odisha, and argues that geographical targeting in Odisha had created a complex system of targeting, leading to large-scale errors of exclusion and information distortions at the ground level. The state subsidy provided by the Government of Odisha had in the past contributed to increased consumption of PDS rice immediately after introduction of targeting. However, in August 2008, the Government of Odisha wound up geographical targeting and started following a uniform price policy which seems to have contributed to a better performing PDS in the state. However, evidences show that in districts where universal PDS is in place, there are still large numbers of families outside the fold of PDS.