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Cabinet Approves ₹25,530 Crore SARTHAK-PDS Scheme to Build AI-Powered Smart Public Distribution System

New integrated food security reform to use AI, QR codes, GPS and blockchain to enhance transparency, reduce leakages, and modernise India’s ration delivery network till 2031.
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New Delhi: The Union Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, has approved a major reform initiative in India’s public food distribution system. The government will spend ₹25,530 crore over the next five years, up to March 2031, under a new integrated programme called “SARTHAK-PDS”.

The scheme aims to modernise the Public Distribution System (PDS) by combining existing subsidy and technology initiatives into a single, unified framework. The goal is to make ration delivery more transparent, efficient, and technology-driven for over 81 crore beneficiaries under the National Food Security Act (NFSA), 2013.

A Unified Push to Strengthen India’s Food Security System

The new SARTHAK-PDS programme merges two key components:

  • Financial support for intra-state movement of foodgrains and Fair Price Shop (FPS) dealer margins
  • The existing Smart PDS digital reform initiative

By bringing these together, the government plans to reduce duplication, improve logistics, and strengthen last-mile delivery of subsidised food grains.

Union Minister Ashwini Vaishnaw said the reforms are designed to improve the supply chain from Food Corporation of India (FCI) warehouses to ration shops, while also ensuring better support for FPS dealers.

Read also: Cabinet Approves Higher MSP for 14 Kharif Crops for 2026-27; Farmers to Receive ₹2.6 Lakh Crore Boost

Tackling Transportation Costs and Supply Chain Gaps

One of the major challenges in the current system has been the cost and complexity of transporting foodgrains across states and districts.

Under SARTHAK-PDS, the Centre will provide financial assistance for intra-state movement of foodgrains. This is expected to:

  • Improve timely delivery of ration supplies
  • Reduce logistical bottlenecks
  • Strengthen coordination between central and state systems
  • Support fair price shop operators more effectively

AI-Powered “Smart PDS”: Three Key Technology Pillars

The biggest highlight of the scheme is its strong focus on digital transformation using Artificial Intelligence (AI), Machine Learning (ML), Natural Language Processing (NLP), and Blockchain technology.

The Smart PDS framework is built on three pillars:

Nirmal: AI-Based Beneficiary Verification System

The “Nirmal” platform will use AI to create a national beneficiary registry for the PDS system. It aims to ensure that only eligible families receive benefits.

Key features include:

  • AI-based verification of beneficiaries
  • Data integration across government departments
  • Removal of ineligible or duplicate entries
  • Ensuring uninterrupted benefits for genuine households

Asha: AI Grievance Redressal and Feedback Platform

The “Asha” system will focus on improving communication between citizens and the PDS network.

It will:

  • Automatically analyse complaints and feedback
  • Provide faster responses using AI tools
  • Collect real-time feedback from beneficiaries
  • Support large-scale outreach (around 2 lakh feedback calls per month already underway)

Saksham: End-to-End Digital Supply Chain Tracking

The “Saksham” pillar aims to fully digitise the movement of foodgrains across the supply chain.

Key upgrades include:

  • QR codes on every foodgrain bag
  • GPS-enabled transport vehicles for real-time tracking
  • Digital dashboards for monitoring stock movement
  • State-level control centres for better oversight

Building on India’s Digital PDS Reforms

SARTHAK-PDS is not starting from scratch. It builds on several reforms already implemented over the past decade, such as:

  • End-to-end computerisation of PDS
  • Aadhaar-based beneficiary identification
  • Electronic Point of Sale (e-PoS) systems at ration shops
  • Online foodgrain allocation systems
  • Mobile apps like Mera Ration and Anna Sahayata for citizens

These systems have already improved portability, transparency, and grievance handling in many states.

What the Government Aims to Achieve

With SARTHAK-PDS, the government aims to create a single, unified digital platform for food distribution that is:

  • More transparent
  • Less prone to leakages
  • Faster and more efficient
  • Easier to monitor in real time
  • More citizen-friendly

The scheme is expected to significantly improve the delivery of subsidised food grains to India’s vast beneficiary base while modernising one of the world’s largest food security networks.

The Bigger Picture

The transformation of PDS into a “Smart PDS” reflects India’s broader push toward digital governance. By combining AI, real-time tracking, and integrated databases, SARTHAK-PDS is designed to make food security delivery more precise, accountable, and responsive to citizen needs.

If implemented effectively, it could mark one of the most significant upgrades in India’s welfare delivery system in recent years.

Read also: Delhi-NCR Air Pollution Action Plan Reviewed: Centre Pushes for Faster Dust Control, EV Expansion & Strict Enforcement


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