One Nation One Ration Card (ONORC)

Context: Ration card portability gained traction across India this year, as 28 crore transactions were recorded in the first 11 months of 2023, according to the food ministry.

About:

• Poor migrant workers will have the opportunity to purchase subsidized rice and wheat from any ration shop in the country, provided their ration cards are linked to Aadhaar.
• To be eligible for subsidies supported by the Centre, including rice at Rs. 3/kg and wheat at Rs. 2/kg, migrants must link their ration cards to Aadhaar.
• This scheme aims to ensure that no impoverished individual is deprived of subsidized grains.  Implementation is feasible, as 77% of ration shops in the country already have Point of Sale (PoS) machines, and over 85% of National Food Security Act (NFSA) beneficiaries have Aadhaar-linked cards.
• States have been granted an additional year to deploy PoS machines in remaining ration shops.
• The technological solution involves identifying beneficiaries through biometric authentication on electronic Point of Sale (ePoS) devices at Fair Price Shops (FPSs), allowing them to purchase their entitled quantity of food grains under the NFSA.
• The Annavitran portal facilitates migrant workers and their families in availing PDS benefits outside their district but within their state.
• While an individual can purchase her allocated food grains wherever she is, her family members can obtain subsidized food grains from their home district's ration dealer.

Significance:

Ensuring Food Security for Migrant Laborers: India's existing food security schemes have been limited by domicile-based access, creating challenges for the approximately 37% of the population, equivalent to 36 crore people, who are migrant laborers. The new scheme is crucial for individuals relocating from one place to another, addressing delays in obtaining ration cards and accessing commodities in a timely manner. Through Aadhaar authentication and validated data, the scheme ensures that migrants can access their entitled benefits anywhere in the country.

Empowering Women and Disadvantaged Groups: The One Nation One Ration Card (ONORC) initiative holds particular significance for women and other marginalized communities, recognizing the impact of social identity and contextual factors on Public Distribution System (PDS) access. By offering beneficiaries the freedom to choose their dealer and switch instantly if issues arise, ONORC provides a valuable choice that curtails corruption.

Choice and Curbing Corruption: The ONORC scheme introduces an element of choice, allowing beneficiaries to select their preferred dealer. In case of misconduct or misallocation by a dealer, beneficiaries can swiftly transition to another Fair Price Shop (FPS). The fundamental requirement for the scheme is de-duplication, preventing individuals from being listed as beneficiaries in multiple locations across the country. Aadhaar authentication and biometrics ensure the accuracy of beneficiary targeting, reducing the potential for corruption. The government is establishing a central data repository to cross-check details from state-maintained ration cards, leveraging technology to eliminate corruption and duplication of benefits.

Challenges

• The implementation of the scheme may encounter technical challenges due to its reliance on technology.
• Common individuals may face increased difficulties, and there is a risk of exploitation by middlemen and corrupt Public Distribution System (PDS) shop owners.
• Tamil Nadu has opposed the Centre's proposal, citing undesirable consequences and federalism concerns. Intra-state portability issues and varying rates across states pose challenges.
• Some regional parties express concerns about bearing the cost of additional ration cards, a matter to be resolved between states and the Government of India.
• States raise apprehensions about the cost of additional food grain supply to migrant workers, despite the system being based on entitlements mandated under the National Food Security Act (NFSA).
• The subaltern groups experience inferior services with discriminatory practices such as inadequate information, mixing of inferior grains, extended waiting times, and verbal abuse.

Way forward:

Enhancing Food Security in Emergencies: In cases where emergencies persist, hindering the regular functioning of ration shops, it becomes essential to explore alternative delivery channels to ensure the seamless distribution of food grains to vulnerable populations.

A Holistic Approach to Food Security: It is imperative to view food security within a broader framework that encompasses nutritional security. In this context, the One Nation One Ration Card (ONORC) initiative should facilitate the portability of Integrated Child Development Services, Mid-Day Meals, immunization, healthcare, and other essential facilities to comprehensively address nutritional needs.

Towards a Sustainable Future: Considering long-term perspectives, there is a possibility of transitioning from the Public Distribution System (PDS) to a more fool-proof food coupon system or direct benefit transfer. Under this system, Below Poverty Line families would have the flexibility to purchase essential items like rice, pulses, sugar, and oil from any Kirana store at market prices. Payment could be made either in full through the coupon or with cash, offering a more efficient and inclusive approach.