In a striking example of an inclusion error, an Indian Express report from Kolkata says that West Bengal Governor Gopalkrishna Gandhi figures in the BPL list in Raigunj, North Dinajpur district.

• Where will the bulk of the dal and oil meant for the poor go?

The Planning Commission study shows that less than half (42 per cent) of subsidised food grains issued from the central pool reaches the poor. The leakage through ration shops constitutes the bulk of the leakage. Bihar and Punjab have a total leakage of more than 75 per cent, out of which two-thirds is through ration shops. Haryana, Madhya Pradesh and UP have leakages between 50 to 75 per cent. Assam, Gujarat, Himachal Pradesh, Karnataka, Maharashtra and Rajasthan have high leakages between 25 to 50 per cent.

• What is the share of genuine BPL households in the PDS?

In 2003-04, 14.07 million tonnes of subsidised grain was issued to the 16 large states for delivery to BPL families. Only 5.93 million tonnes was delivered to BPL families. A whopping 8.14 million tonnes of subsidised foodgrain did not reach the poor. In states with high leakages this meant that the unintended subsidy or additional cost of delivery of food grains was shockingly high. For example, in Bihar, while the intended subsidy was Rs 4.52 per kg, if we take into account the total subsidy to what actually reached the poor, the subsidy ended up being Rs 50.98 per kg due to leakages and diversions. In Punjab, while the intended subsidy was Rs 4.22 per kg, it ended up being Rs 40.15 per kg of foodgrain.

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