Food Minister Pralhad Joshi on Tuesday launched a pilot project to convert 60 Fair Price Shops (FPS) into 'Jan Poshan Kendras' across Uttar Pradesh, Gujarat, Rajasthan, and Telangana, with the aim of enhancing their viability and improving access to nutrition.
The initiative allows FPS dealers to diversify their offerings beyond subsidised grains, enabling them to stock items such as millets, pulses, dairy products, and daily essentials. This move is expected to provide new revenue opportunities for dealers.
"This transformation will be a win-win," Joshi said during the launch event. He pointed out operational inefficiencies in the current system, noting, "In some areas, FPS open for just 8-9 days, while others operate only once every three months. The rest of the time, these shops remain closed."
Joshi emphasised that the existing commission structure for FPS dealers is inadequate, making it necessary to explore alternative ways to utilise shop space and manpower more effectively.
In addition to the pilot project, Joshi introduced an updated version of the 'Mera Ration' app and unveiled several other initiatives, including a Quality Manual Handbook, the Contract Manual of the Food Corporation of India (FCI), a Digital Quality Management System, and the NABL accreditation of FCI labs.
Food Secretary Sanjeev Chopra highlighted the government’s collaboration with the Small Industries Development Bank of India (SIDBI) to provide easy credit for FPS dealers, as well as partnerships with the Skill Development Ministry to offer entrepreneurship training.
With approximately 5.38 lakh FPS operational across India, the success of this pilot could lead to a nationwide transformation of the ration shop network.
The All India Fair Price Shop Dealers' Federation welcomed the initiative, describing it as a "big relief" for shop owners struggling with viability issues.
The launch event was attended by senior FCI officials, state food secretaries, and representatives from the World Food Programme.
In a related development, eB2B platform Udaan announced a partnership with the Ministry of Consumer Affairs, Food and Public Distribution, and SIDBI to boost the income of FPS dealers and improve nutritional outcomes for beneficiaries.
"By modernising Jan Poshan Kendras and expanding their access to a diverse range of products, the initiative aims to empower these essential community businesses while contributing to the broader goal of ensuring that every Indian has access to quality and affordable nutrition," said Udaan co-founder and CEO Vaibhav Gupta.
As part of this initiative, about 60 FPS across Rajasthan, Uttar Pradesh, Telangana, and Gujarat have been selected to receive credit facilities from SIDBI and access to over 3,500 products across various staples and FMCG categories from Udaan.