India's parliament passes cheap food law for 800 million people

[by78]

India's parliament passes cheap food law for 800 million people

India's parliament passes cheap food law for 800 million people

NEW DELHI, Sept 2 | Mon Sep 2, 2013 4:15pm EDT

(Reuters) - India's upper house of parliament on Monday approved a $20 billion scheme to distribute subsidised wheat and rice to 800 million people, backing an anti-malnutrition drive that investors fear will mean missing the fiscal deficit target.

The Food Security Bill is seen as a vote winner by the ruling Congress party as it prepares for elections due by May next year. But investors reacted negatively to the plan when the lower house approved it last weak, on worries the government will struggle to contain the cost of subsidies.

The scheme has now been passed by both houses. Before becoming law it must be signed by the president, a formality. (Reporting by Mayank Bhardwaj; Editing by Frank Jack Daniel)

 

[Chinese-Dragon]

Helping people to get food is a good thing. Making them dependent on food aid is not.

And with India's massive fiscal deficit, already the worst in the developing world by far, does it make sense to create one of the largest welfare schemes in the world? Basically running on deficit and debt?

This is a very short-term solution.

 

[Skyline]

800 million in poverty in India?

 

[OrionHunter]

Helping people to get food is a good thing. Making them dependent on food aid is not.

And with India's massive fiscal deficit, already the worst in the developing world by far, does it make sense to create one of the largest welfare schemes in the world? Basically running on deficit and debt?

This is a very short-term solution.

Give a man a fish and you feed him for a day. Teach a man to fish and you feed him for a lifetime. But the congress and other political parties think otherwise and have their eyes only on the vote banks. To hell with the nation.

The amount going to be sunk in this populist project has been calculated by economists to cost a whopping $ 100 billion in the next 3 years!!! It would certainly have been far better to invest that amount on agriculture, improving the demand-supply chain, building infrastructure and industry etc so that millions could benefit by providing them jobs and improve their standard of living and most of all, make them learn to stand on their own feet.

But then, it's all about those votes. The middle class should now be prepared to shell out more as taxes to fund this grandiose scheme that will give out freebies to even those who don't deserve it. If, according to official stats only 23% are below the poverty line, why give doles to 65% of the population?

Few want to work nowadays due to the doles. A laborer who used to be happy with Rs 100 a day a couple of years ago now demands Rs 600 a day!!! Take it or leave it. If he doesn't get work never mind. He's getting free/subsidized food anyway! So it doesn't matter if he works or not! We are soon becoming a nation of the lazy and lethargic.

What's the other name for Indian politicians? A$$holes!

 

[manlion]

Helping people to get food is a good thing. Making them dependent on food aid is not..

its not making the poor dependent , its entitles the pop to subsidized grains , the intention is very honorable. It will ensure Congress back in power and provide stability to the region, no loony fanatic Hindu fascist in the Centre .. ..

 

[Echo_419]

Helping people to get food is a good thing. Making them dependent on food aid is not.

And with India's massive fiscal deficit, already the worst in the developing world by far, does it make sense to create one of the largest welfare schemes in the world? Basically running on deficit and debt?
Around 100 billion will be spended on the new scheme money could have been used for Infra
But that is to mainstream for these Socialists scums

& I even doubt if Modi comes to power He will have the balls to remove this law but he can at least Reduce it

 

[jayron]

Food is the bare minimum security cover any government can provide. I just hope the government uses this opportunity to improve the supply chain and reduces the massive wastage of produced food.

 

[Star Wars]

Its going to take at-least 1 year before anything related the FSB happens

 

[my2cents]

It is a subsidized scheme not a dole out. Let the poor have a decent meal on tax payers expense. It is better than our money going to corrupt politicians.

 

[VectraHind]

good the bill is passed, some people says it will affect the economy more,credit rating say this may downgrade India rating but whatever they may say this bill is needed for eliminating hunger.The priority should be to eliminate hunger not to mere satisfy investors.This bill may initially create problems but 10 to 15 year down the line this bill will be a game changer.Critics criticism is short term but vision is long term,it doesn't matter if congress does it for politics or not but its a peoples bill and this is a massive bold step that congress has taken.I support this bill.Now when the bill is passed the priority now should be its proper implementation.

 

[TopCat]

Helping people to get food is a good thing. Making them dependent on food aid is not.

And with India's massive fiscal deficit, already the worst in the developing world by far, does it make sense to create one of the largest welfare schemes in the world? Basically running on deficit and debt?

This is a very short-term solution.

Brother you have to understand Indian society and economy before opposing the scheme. Only few millions were the beneficiary of Indian economic boom in last decade who worked for outsourcing service companies the rest of the billion people were left out to only suffer the inflation created by so called FDI and consumption boom by the selected few. Only way you can keep them alive now is to give them minimum food and that is what Indian government is doing now and has support from both govt and opposition in the parliament.

 

[Chinese-Dragon]

Brother you have to understand Indian society and economy before opposing the scheme. Only few millions were the beneficiary of Indian economic boom in last decade who worked for outsourcing service companies the rest of the billion people were left out to only suffer the inflation created by so called FDI and consumption boom by the selected few. Only way you can keep them alive now is to give them minimum food and that is what Indian government is doing now and has support from both govt and opposition in the parliament.

Why not spend the money to improve productivity in the economy, so there is a bigger cake to divide up.

Rather than cutting ever smaller slices out of a small cake.

Or Hell, just improve the infrastructure so that half of all the food grains don't rot.

 

[TopCat]

Why not spend the money to improve productivity in the economy, so there is a bigger cake to divide up.

Rather than cutting ever smaller slices out of a small cake.

Well, its not that they did not try but few wants to get paid like western standard yet living in the 3rd world country which made manufacturing highly expensive in India. Besides outsourcing companies created a artificial wage bubble in India. Its very hard to get out of this vicious cycle now.

 

[conworldus]

Why does it seem to me that the Indian government keeps making economically suicidal moves? India needs to tighten up and reduce the deficit. Every step from the Indian government seems to be populist moves rather than rational ones.

 

[Guynextdoor2]

http://www.defence.pk/forums/central-south-asia/275413-five-myths-about-food-security-bill.html