Miscellaneous Schemes under Ministry of Consumer Affairs, Food and Public Distribution

These schemes aim to improve food security, enhance agricultural financing, ensure price stability, and empower citizens through reforms in Public Distribution.

1️⃣ Credit Guarantee Scheme for e-NWR Based Pledge Financing (CGS-NPF)

Ensuring farmers have access to credit against stored produce

Launched on 16 December 2024

🧭 Purpose:

To provide credit guarantee to eligible lenders (banks, NBFCs, etc.) when they give loans to borrowers who have pledged their goods stored in warehouses via e-NWR.

📄 What is e-NWR?

e-Negotiable Warehouse Receipt (e-NWR) is a digital proof of commodities stored in a registered warehouse.

• It is like a digital “receipt” you get after depositing produce in a WDRA-registered warehouse.
• This digital document can be used:
  • As collateral for loans
  • For trading or settlement
• These are regulated by the Warehousing Development and Regulatory Authority (WDRA)

💰 Loan Details & Eligibility:

Borrower Type	Loan Limit under PSL Guidelines
Individual Farmer (Agri Loan)	Up to ₹75 lakh
MSMEs, FPOs, Co-ops, Small & Marginal Farmers	Up to ₹200 lakh

• Loans provided must follow RBI’s Priority Sector Lending (PSL) norms.
• No additional collateral required – the pledged goods in the warehouse (via e-NWR) itself are sufficient.

2️⃣ One Nation One Ration Card (ONORC) Plan

Making Ration Cards Portable Across India

📘 Type: Central Sector Scheme

Implemented as part of Integrated Management of Public Distribution System (IM-PDS)

🎯 Aim:

To enable nationwide portability of ration cards—a game changer for migrant workers and urban poor.

A ration card issued in one State can now be used to collect foodgrains from any ePoS-enabled Fair Price Shop (FPS) in the country.

🔑 How it works:

• The same ration card can be used anywhere.
• Verification is done via Aadhaar-based biometric authentication.
• Ensures that benefits of NFSA reach even those who migrate for work.

3️⃣ Price Stabilization Fund (PSF)

Controlling Price Volatility of Essential Commodities

It was originally launched in 2014–15 under the Department of Agriculture, Cooperation & Farmers Welfare, and later transferred to its current ministry in April 2016

🎯 Objective:

To moderate price fluctuations in key agricultural and horticultural commodities like:

• Onions
• Potatoes
• Pulses

🛠️ How it works:

• Government procures and stores these commodities when prices fall.
• These are then released strategically in the market when prices rise too high.
• This balances supply and demand, and prevents hoarding or artificial scarcity.

🧑‍🌾 Farmer-Centric Approach:

• Procurement happens directly from farmers or FPOs (Farmer Producer Organisations)
• Usually done at farm gate or Mandi level, ensuring fair prices

💰 Financial Support:

The fund is used to provide:

• Interest-free working capital advances to:
  • Central agencies
  • State/UT Governments
• These advances help them undertake market intervention operations.

⚠️ Important Clarification (For Prelims):

There are two different PSFs in India:

PSF under MoCAF&PD	PSF under Ministry of Commerce & Industry
Focus on price stability in agri-horti items	Relief to small growers of coffee, tea, etc.
Operational for onion, pulses, etc.	Operational since 2003 for plantation crops
Meant for food price regulation	Meant for income protection of smallholders