On December 5, 2024, Shri Pralhad Joshi, Union Minister of Consumer Affairs, Food and Public Distribution and New & Renewable Energy, introduced two groundbreaking initiatives -‘Anna Chakra’, a supply chain optimization tool for the Public Distribution System (PDS), and SCAN (Subsidy Claim Application for NFSA) portal. These initiatives aim to modernize India’s food distribution and subsidy settlement systems, enhancing efficiency, transparency, and environmental sustainability.
Anna Chakra, developed by the Department of Food and Public Distribution in collaboration with the World Food Programme (WFP) and Foundation for Innovation and Technology Transfer (FITT), IIT-Delhi, uses advanced algorithms to optimize the logistics network of the PDS. It ensures seamless movement of food grains across supply chain nodes, improving efficiency and reducing costs. Covering 4.37 lakh Fair Price Shops (FPSs) and 6,700 warehouses in 30 states, the initiative is expected to save ₹250 crore annually and significantly reduce QKM (quantity in quintal x distance in kilometers) by 58 crore. Additionally, it integrates with platforms like FOIS (Freight Operations Information System) and PM Gati Shakti, leveraging geospatial data to optimize routes.
Anna Chakra promises substantial environmental benefits by reducing transportation emissions, contributing to a lower carbon footprint. Optimized routes also cut fuel consumption and logistics costs, bolstering India’s efforts toward sustainable food distribution. As the backbone of the world’s largest food security program supporting 81 crore beneficiaries, this initiative ensures faster and more efficient delivery of essential commodities.
The SCAN (Subsidy Claim Application for NFSA) portal introduces a single-window system for states to submit subsidy claims under the National Food Security Act (NFSA). By automating the end-to-end workflow for claim submission, scrutiny, and approval, the portal ensures faster processing and transparency in subsidy disbursement. This streamlined mechanism eliminates procedural delays, expediting the settlement process and improving the overall efficiency of subsidy management.
Speaking at the launch, Shri Pralhad Joshi highlighted the transformative potential of these initiatives in reinforcing India’s food security framework. By optimizing logistics and streamlining subsidy claims, Anna Chakra and SCAN are set to enhance the efficiency and sustainability of the Public Distribution System, ensuring timely and cost-effective delivery of food grains to millions across the nation.