Govt amalgamates ration shops to ensure food supply continuity

21 shops merged so far; new scheme to improve financial viability of fair price shops

THE GOAN NETWORK | MARCH 17, 2025, 12:56 AM IST

PANAJI
With several Fair Price Shops (FPS) in the State finding the business “financially not viable” and thereby opting for closure, the State government has begun amalgamation of such ration shops with the nearest one to ensure continued supply of free food grains to the beneficiaries. So far, 21 such ration shops have been attached.

The Department of Civil Supplies and Consumer Affairs will soon be launching a special “Compensation to FPS Dealers" scheme, under which an operating expense of Rs 9,500 per shop per month would be provided, apart from enhancing the margins per item to enhance the viability of FPS network.

Speaking to The Goan, Director Civil Supplies Jayant Tari said that there are several reasons like financial viability, death of owner, family issues, etc for which the ration shops are shutting down. “Closure of ration shops will directly have an impact on the beneficiaries that are registered with them. Hence, what we are doing is basically merging or attaching this FPS with the nearest one so that the beneficiaries continue to get the benefit,” he said.

As on date, five each FPS in Tiswadi and Mormugao taluka are attached so far, while there are three in Quepem taluka, two each in Salcete, Ponda and Pernem while Bardez and Canacona have reported one each such case.

“We have not come across any such cases in Dharbandora, Sanguem, Sattari and Bicholim taluka so far,” he said.

The ration shops are part of the Public Distribution System (PDS) and are responsible for distributing essential commodities like rice, wheat and sugar at subsidised prices to nearly 10 lakh ration card holders. There are around 450 FPS in the State.

The State government has approved a scheme that speaks about waiving of the ePoS rent at Rs 0.10 paisa per kg and adding an ePoS incentive at Rs 105 per ton will impose additional burden of over Rs 10 crore on the State government.

According to the department, the scheme is a ray of hope for those considering shutting the FPS.

As per the proposed scheme, the department has recommended providing monthly operating expenses to the tune of Rs 9,500 per FPS for payment towards wages, electricity, rentals, taxes, thermal rolls, transportation, and handling.

Additionally, the scheme proposes to enhance the cost of rice allocation for Above Poverty Line (APL) (Fortified Rice) from Rs 12.50 to Rs 16.50. Also, the margin commission on rice has been enhanced from Rs 2.80 per kg to 3.15 per kg.


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