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EconomyPIB28 May 2026

Cabinet approves SARTHAK-PDS umbrella scheme; โ‚น25,530 crore outlay (2026โ€“31) to modernise PDS and strengthen NFSA delivery

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๐Ÿ“Œ Summary:

  • Cabinet Committee on Economic Affairs (CCEA), chaired by PM Modi, approved continuation of two PDS schemes โ€” (i) "Assistance to State Agencies for intra-State movement of foodgrains & FPS dealers' margin under NFSA" and (ii) "Scheme for Modernization and Reforms through Technology in PDS (SMART PDS)" โ€” integrated under a new umbrella scheme: SARTHAK-PDS (Scheme for Assistance in Ration Transport and Handling-Income with Automation in PDS)
  • Outlay: โ‚น25,530 crore (Central share) for the 16th Finance Commission cycle, operating up to 31 March 2031
  • Two prongs: (a) assured financial support for intra-State foodgrain movement, handling and FPS dealer margin; (b) a unified, citizen-centric, intelligent and interoperable PDS architecture
  • Norms of Central assistance for States/UTs revised; existing funding pattern of Central Assistance continued
  • Modernisation leverages AI, Machine Learning, NLP and Blockchain to standardise PDS architecture and minimise leakages
  • Higher FPS dealers' commission to incentivise last-mile delivery of foodgrains to ~80 crore NFSA beneficiaries
  • Aims at transparency, security and sustainability in PDS operations

๐ŸŽฏ UPSC Relevance: GS3 โ€” Food Security & PDS, Government schemes for vulnerable sections, Agriculture-economy linkages; GS2 โ€” Welfare scheme architecture; touches NFSA, 2013 implementation.

๐Ÿ“ Prelims Facts:

  • SARTHAK-PDS = Scheme for Assistance in Ration Transport and Handling-Income with Automation in PDS
  • Approval body: CCEA, chaired by the Prime Minister
  • Central outlay: โ‚น25,530 crore (16th Finance Commission cycle, up to 31.03.2031)
  • Subsumes: (i) NFSA intra-State movement/FPS-margin scheme + (ii) SMART PDS
  • Anchor law: National Food Security Act (NFSA), 2013 โ€” entitles ~67% of population to subsidised foodgrains via PDS
  • Technologies leveraged: AI, ML, NLP, Blockchain

๐Ÿ”‘ Key Term: SARTHAK-PDS โ€” an umbrella PDS modernisation and operations scheme that combines intra-State foodgrain movement assistance, FPS dealers' margin and technology-driven PDS reform to strengthen NFSA delivery up to 2031.

SARTHAK-PDSNFSACCEAfood securityPDS modernisation

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