22 crore ration beneficiaries, including 5.6 from Kashmir flagged under Smart PDS—here is everything you need to know

August 4, 2025 by News Desk

Government of India has launched a wide-ranging filtration drive under the Smart Public Distribution System (Smart PDS), aiming to weed out ineligible individuals from the subsidised ration rolls.

The government claims that the exercise is expected to significantly reduce the burden on the public exchequer, saving nearly ₹50,000 crore annually and cutting foodgrain distribution by 37,000 metric tonnes.

At present, around 81 crore people across the country receive free ration under schemes like the Antyodaya Anna Yojana (AAY) and Priority Household (PHH) category. However, the government’s Smart PDS initiative, which links Aadhaar, PAN, Transport, Agriculture, Income Tax (CBDT), and GST data, is identifying individuals whose socio-economic conditions no longer make them eligible for subsidised support.

These individuals will not be completely removed from the ration system but will instead be shifted to the Non-Priority Household (NPHH) category, where they will receive foodgrains like rice at non-subsidised rates.

As per a news report by Gulistan TV, in Kashmir alone, over 5.6 lakh consumers have been identified as ineligible for subsidised ration. District-wise figures show the highest number of deletions in Kupwara (97,604), followed by Anantnag (91,624), Baramulla (79,892), Budgam (76,089), and Kulgam (50,247). Other districts impacted include Bandipora (44,008), Pulwama (41,934), Srinagar (31,489), Ganderbal (26,910), and Shopian (20,726).

An official of the Food, Civil Supplies and Consumer Affairs department, speaking to The Kashmiriyat on the condition of anonymity, said that the Smart PDS system is automatically flagging ration beneficiaries based on multiple data points. These include income tax filings, vehicle ownership, land records, and GST registration, among others. He explained that individuals who own four-wheelers or commercial vehicles, earn more than ₹6 lakh annually as per CBDT records, or hold significant land under PM-Kisan records are being marked ineligible for subsidised ration. Those listed as directors of registered companies or showing turnover exceeding ₹25 lakh in GST filings are also being filtered.

The system also identifies beneficiaries listed on silent ration cards for over six months, those who are deceased, or single-member households with minors below the age of 18.

However, the official clarified that no formal order has yet been issued by the government regarding the final deletion or reclassification of these consumers. “This is still a data-driven exercise. The lists have been generated based on database matching, but the final decision on deletion or category shift is yet to be officially notified,” he said, adding that there will be a process of verification and appeal for those flagged erroneously.

A significant concern that has emerged from this exercise is the inconsistency in land records. Several recipients of the PM-Kisan scheme have been found to declare land ownership of up to 2.47 hectares, qualifying them for benefits, but on-ground assessments often reveal they own far less. These mismatches may result not only in exclusion from subsidised ration but from other welfare schemes as well.

Meanwhile, the Ration Card Management System (RCMS) website has remained defunct since June 1, as departments work to integrate Smart PDS with other government databases. The temporary shutdown has added to the confusion among ration cardholders trying to check their status or apply for corrections.

While the government insists that the objective is to ensure subsidies reach only those who genuinely need them, civil society groups and rights activists have warned that such large-scale automated exclusions may lead to wrongful deletions and deprive vulnerable individuals of essential support. The department, however, maintains that mechanisms for redressal and re-verification will be put in place before any final decisions are implemented.