The government has decided to continue with the supply of 1 kg sugar a month to about one crore Below Poverty Line cardholders at Rs. 13.5 a kg.
Food and Civil Supplies Minister Dinesh Gundu Rao told presspersons here that a Cabinet sub-committee has already cleared the proposal and the nod for the scheme is expected shortly. In all probability, the scheme will be launched from October 1, the Minister said. The move is expected to cost about Rs. 22 crore a year to the exchequer.
Sugar supply under PDS was stopped a couple of months ago after decontrol of sugar by the Union government. Previously the Union government was providing sugar for supply under PDS. Mr. Rao said the Centre has agreed to partly subsidise sugar under PDS till 2015 since the State government intends to continue the scheme. It will pay Rs. 18.5 a kg for 1.08 lakh tonnes a year.
