Cabinet extends SARTHAK-PDS scheme for 5 yrs with Rs 25,530 cr outlay

The Union Cabinet has approved a five-year extension of the 'SARTHAK-PDS' scheme with a Rs 25,530 crore outlay to overhaul public distribution infrastructure through technology-led reforms.

The Union Cabinet on Wednesday approved the five-year extension of the 'SARTHAK-PDS' scheme with a Rs 25,530 crore outlay through March 2031, aiming to overhaul the public distribution infrastructure through technology-led reforms.

The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, also cleared a revision to the norms governing central assistance to states and Union Territories for intra-state movement and handling of foodgrains, as well as fair price shop (FPS) dealers' margins, while retaining the existing funding pattern.

SARTHAK-PDS merges two existing programmes - assistance for intra-state foodgrain movement and FPS dealer margins under the National Food Security Act (NFSA), and the SMART-PDS modernisation scheme - into a unified framework aimed at strengthening last-mile delivery and curbing leakages.

Information and Broadcasting Minister Ashwini Vaishnaw said the scheme covers the entire PDS value chain.

''Right from selection of beneficiaries to movement of foodgrains, to getting proactive feedback from citizens, to reducing transportation distance - all those activities have been approved,'' the minister told reporters after the Cabinet meeting.

The state governments were facing difficulties in bearing the transportation cost of foodgrain to PDS shops. This cost will be supported under the scheme wherein FPS dealers' remuneration will also be enhanced, he added.

The scheme deploys three AI-powered digital platforms.

NIRMAL, an AI-driven beneficiary registry, will weed out duplicate and ghost beneficiaries, while QR-coded grain bags will enable tamper-proof tracking from warehouses to FPS outlets.

ASHA, a multilingual AI assistant, will handle grievance redressal in beneficiaries' preferred languages. SAKSHAM, an AI supply-chain platform, will provide vehicle GPS tracking, demand forecasting and route optimisation.'.

The government projects logistics cost reductions of 15–50 per cent from the scheme, with annual savings of Rs 280 crore and a 36 per cent reduction in carbon emissions from shorter transport routes.

Vaishnaw was categorical that SARTHAK-PDS does not replace the existing PDS architecture but is designed to bring structural reform across the delivery of foodgrains, logistics, transportation, material handling and grievance redressal.

The scheme carries a dual mandate: providing assured financial support for intra-state movement, handling and FPS dealers' margins on one hand, and building a unified, citizen-centric and interoperable PDS architecture on the other - aimed at ensuring last-mile service delivery while minimising leakages.

On the technology front, the scheme envisages deployment of Artificial Intelligence (AI), Machine Learning (ML), Natural Language Processing (NLP) and Blockchain to modernise PDS operations.

Key deliverables include standardised architectures and unified databases for real-time monitoring, AI-driven grievance redressal and analytics systems, and State Command Control Centres for data-driven oversight. ISO-certified process frameworks will also be put in place to ensure transparency, security and operational sustainability.

The scheme is anchored to the government's legal and social commitment under NFSA, with coverage extending to 81.35 crore persons.

''The government has a commitment to the people of the nation - a dignified life by ensuring access to food and nutritional security through the availability of adequate quantities of quality foodgrains,'' the government said in a statement.

SARTHAK-PDS draws on over a decade of technology reforms in the PDS ecosystem. Earlier initiatives include end-to-end computerisation of the Targeted Public Distribution System (TPDS), Integrated Management of PDS (IM-PDS) and SMART PDS, as well as citizen-facing applications such as Mera Ration, Anna Mitra, the Rightful Targeting Dashboard and Anna Sahayata.

Since April 1, 2023, the SMART PDS scheme has served as the cornerstone of technology-led reforms, enabling complete digitisation of ration cards, Aadhaar seeding, FPS automation through electronic Point of Sale (e-PoS) devices, online allocation and computerised supply-chain management across all 36 states and union territories.