Indian Economy News

Centre will likely extend free food grains program until December: Report

  • IBEF
  • September 28, 2022

India will likely extend its free food grains programme for three months, which covers the bulk of the country's population and costs more than US$ 18 billion per year. The government may continue to supply free rice or wheat to approximately 800 million people until December. The benefit was supposed to expire at the end of September. Bloomberg earlier reported that the Food Ministry's desire to extend the handout comes despite reservations from the country's Finance Ministry.

The programme, which began in April 2020 to assist the impoverished during a brutal Covid-19 lockdown, allows for 5 kg of food grains per person every month. Since then, the total cost of the dole has climbed to almost US$ 44 billion, placing pressure on the government's finances.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.