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Cabinet approves Sugar Subsidy for AAY Families for Two More Years

The Public Distribution Scheme (PDS) sugar subsidy program for Antyodya Anna Yojna (AAY) households was authorized for extension by the Union Cabinet, presided over by Prime Minister Shri Narendra Modi, for a period of two more years, ending on March 31, 2026.

As another example of the Central Government’s unwavering commitment to the well-being of its citizens and ensuring the sweetness of the poorest of the poor in the country, the Scheme facilitates access to sugar for the poorest of the poor and adds energy to their diet, thereby improving their health.

The Central Government provides AAY households in participating States with a monthly sugar subsidy of Rs.18.50 per kg. The clearance is anticipated to extend benefits of over Rs.1850 crore during period of 15th Finance Commission (2020-21 to 2025-26). The scheme is expected to benefit about 1.89 crores AAY families of the country.

The Government of India is already providing free rations under the Pradhan Mantri Garib Kalyan Anna Yojna (PM-GKAY). The sale of ‘Bharat Atta’, ‘Bharat Dal’, tomatoes, and onions at inexpensive and fair rates are initiatives to guarantee that residents have enough food on their plates beyond PM-GKAY as well. So far, around 3 lakh tons of Bharat Dal (Chana dal) and 2.4 lakh tons of Bharat Atta have been sold, benefiting average people. Thus, the availability of subsidized dal, atta, and sugar has completed the food supply for the average Indian citizen, fulfilling Modi’s promise of ‘Food for All, Nutrition for All’.

With this approval, the Government will continue giving subsidy to participating States for distribution of sugar to AAY families through PDS at the rate of One kg per family per month. States have the responsibility to procure and distribute sugar.

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