EGoM clears draft of Food Security Bill aimed to deliver on key poll promise

19 Mar 2010

Union agriculture minister Sharad Pawar has said the empowered group of ministers (EGoM) has cleared the draft of the Food Security Bill which will provide for supply of 25kg of wheat or rice per month at Rs3 a kilo to the weaker sections of society.

Under the bill persons below the poverty line (BPL) would receive 25kg wheat or rice every month.

"EGoM has no authority to take a final view on the (Food Security) Bill. Ultimately, the Bill will be decided and approved by the cabinet, that's why EGoM decided that I should take this bill for proposal to the cabinet," Pawar told reporters in New Delhi on Thursday.

The Indian economy which is the third-largest in Asia is fast recovering fast as factory output improves but food prices are are galloping and currently rule at an 11-year peak. The government meanwhile is worried over a backlash from millions of rural poor who are its main voters.

Rising prices have stoked opposition-backed street protests, leaving the government little elbow room to initiate much needed financial reforms such as relaxing fuel price controls.

The cabinet is expected to receive the draft food bill for approval next week after which it is expected to be sent to parliament for enactment.