Govt Food Distribution Declines by 14% in Q1 FY24-25

Industry: Consumer & Retail, Food

In the first quarter of fiscal year 2024-25, government food distribution under various social protection schemes fell by 14% year-on-year, primarily due to a significant reduction in grain transfers under the Food for Work (FFW) and Food Friendly Programme (FFP). Between July 1 and October 10, public agencies distributed 750,000 tonnes of rice and wheat, down from 875,000 tonnes during the same period last year.

Notably, FFW distribution plummeted to just 74 tonnes from 10,000 tonnes a year earlier, while the Vulnerable Group Feeding scheme saw a decrease to 15,800 tonnes from 28,000 tonnes. In contrast, the Gratuitous Relief scheme nearly tripled, reaching 27,830 tonnes, largely due to relief efforts for flood-affected districts. Although the government has achieved near self-sufficiency in rice production, challenges remain, with high food prices impacting the purchasing power of low-income households. The food ministry is expected to distribute an additional 150,000 tonnes of rice under the FFP in the coming weeks.

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