- Central Government:
- Bears the major financial burden of food subsidy.
- Requires around 60 MT of food grains, costing Rs. 1.90 lakh crore.
- Provides assistance to states for intra-state movement, handling, and FPS margins.
- Provides food grains for free from Jan 2023 to Dec 2023.
- State Governments:
- Bear costs for intra-state movement, handling, and FPS margins.
- Can formulate food/nutrition-based schemes providing higher benefits from their own resources.
- Responsible for implementing the Act, which has associated costs.
- The Act significantly increases the overall food subsidy bill.