'Reverse decision to cut food subsidy'
'Reverse decision to cut food subsidy'
Congress on Monday came out against its own Government's decision to cut the food subsidy and urged reconsideration.

New Delhi: It's not just coalition politics that's troubling the Congress, the party on Monday came out against its own Government's decision to cut the food subsidy.

Congress Spokesperson Jayanti Natarajan said, "Price hike in the PDS will be a burden even for the people above the poverty line. The Congress urges the Centre to reconsider its decision, especially in view of the difficulties it will pose to women in these difficult times."

The Cabinet on Friday imposed a Rs 4,524-crore cut on food subsidies by reducing the quantity of wheat and rice issued through the Public Distribution System (PDS).

The decision to reduce the subsidy was taken at a meeting of the Cabinet Committee on Economic Affairs (CCEA).

However, there will be no change in the issue price for the Below Poverty Line (BPL) families under the PDS.

The price hike will not affect families below the poverty line, but they will get less from the ration shop as the quantity of foodgrains supplied to each BPL family has been reduced from Rs. 35 kg a month to Rs. 30 kg a month.

For the Above Poverty Line (APL) family, the alloted quantity has fallen from Rs. 35 kg to Rs. 20 kg.

While foodgrains would be supplied to APL families at 70 per cent of the economic cost, it would be 50 per cent for BPL families.

Terming that the decision went against the declared policy of the UPA Government to strengthen the public distribution system, CPI(M) General Secretary Prakash Karat said that the Centre's decision is a "very retrogade" one.

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