• Home
  • About RSIS
    • Introduction
    • Building the Foundations
    • Welcome Message
    • Board of Governors
    • Staff Profiles
      • Executive Deputy Chairman’s Office
      • Dean’s Office
      • Management
      • Distinguished Fellows
      • Faculty and Research
      • Associate Research Fellows, Senior Analysts and Research Analysts
      • Visiting Fellows
      • Adjunct Fellows
      • Administrative Staff
    • Honours and Awards for RSIS Staff and Students
    • RSIS Endowment Fund
    • Endowed Professorships
    • Career Opportunities
    • Getting to RSIS
  • Research
    • Research Centres
      • Centre for Multilateralism Studies (CMS)
      • Centre for Non-Traditional Security Studies (NTS Centre)
      • Centre of Excellence for National Security (CENS)
      • Institute of Defence and Strategic Studies (IDSS)
      • International Centre for Political Violence and Terrorism Research (ICPVTR)
    • Research Programmes
      • National Security Studies Programme (NSSP)
      • Studies in Inter-Religious Relations in Plural Societies (SRP) Programme
    • Future Issues and Technology Cluster
    • [email protected] Newsletter
    • Other Research
      • Science and Technology Studies Programme (STSP) (2017-2020)
  • Graduate Education
    • Graduate Programmes Office
    • Overview
    • MSc (Asian Studies)
    • MSc (International Political Economy)
    • MSc (International Relations)
    • MSc (Strategic Studies)
    • NTU-Warwick Double Masters Programme
    • PhD Programme
    • Exchange Partners and Programmes
    • How to Apply
    • Financial Assistance
    • Meet the Admissions Team: Information Sessions and other events
    • RSIS Alumni
  • Alumni & Networks
    • Alumni
    • Asia-Pacific Programme for Senior Military Officers (APPSMO)
    • Asia-Pacific Programme for Senior National Security Officers (APPSNO)
    • International Strategy Forum-Asia (ISF-Asia)
    • SRP Executive Programme
    • Terrorism Analyst Training Course (TATC)
  • Publications
    • RSIS Publications
      • Annual Reviews
      • Books
      • Bulletins and Newsletters
      • Commentaries
      • Counter Terrorist Trends and Analyses
      • Commemorative / Event Reports
      • IDSS Paper
      • Interreligious Relations
      • Monographs
      • NTS Insight
      • Policy Reports
      • Working Papers
      • RSIS Publications for the Year
    • Glossary of Abbreviations
    • External Publications
      • Authored Books
      • Journal Articles
      • Edited Books
      • Chapters in Edited Books
      • Policy Reports
      • Working Papers
      • Op-Eds
      • External Publications for the Year
    • Policy-relevant Articles Given RSIS Award
  • Media
    • Great Powers
    • Sustainable Security
    • Other Resource Pages
    • Media Highlights
    • News Releases
    • Speeches
    • Vidcast Channel
    • Audio/Video Forums
  • Events
  • Giving
  • Contact Us
Facebook
Twitter
YouTube
RSISVideoCast RSISVideoCast rsis.sg
Linkedin
instagram instagram rsis.sg
RSS
  • Home
  • About RSIS
      • Introduction
      • Building the Foundations
      • Welcome Message
      • Board of Governors
      • Staff Profiles
        • Executive Deputy Chairman’s Office
        • Dean’s Office
        • Management
        • Distinguished Fellows
        • Faculty and Research
        • Associate Research Fellows, Senior Analysts and Research Analysts
        • Visiting Fellows
        • Adjunct Fellows
        • Administrative Staff
      • Honours and Awards for RSIS Staff and Students
      • RSIS Endowment Fund
      • Endowed Professorships
      • Career Opportunities
      • Getting to RSIS
  • Research
      • Research Centres
        • Centre for Multilateralism Studies (CMS)
        • Centre for Non-Traditional Security Studies (NTS Centre)
        • Centre of Excellence for National Security (CENS)
        • Institute of Defence and Strategic Studies (IDSS)
        • International Centre for Political Violence and Terrorism Research (ICPVTR)
      • Research Programmes
        • National Security Studies Programme (NSSP)
        • Studies in Inter-Religious Relations in Plural Societies (SRP) Programme
      • Future Issues and Technology Cluster
      • [email protected] Newsletter
      • Other Research
        • Science and Technology Studies Programme (STSP) (2017-2020)
  • Graduate Education
      • Graduate Programmes Office
      • Overview
      • MSc (Asian Studies)
      • MSc (International Political Economy)
      • MSc (International Relations)
      • MSc (Strategic Studies)
      • NTU-Warwick Double Masters Programme
      • PhD Programme
      • Exchange Partners and Programmes
      • How to Apply
      • Financial Assistance
      • Meet the Admissions Team: Information Sessions and other events
      • RSIS Alumni
  • Alumni & Networks
      • Alumni
      • Asia-Pacific Programme for Senior Military Officers (APPSMO)
      • Asia-Pacific Programme for Senior National Security Officers (APPSNO)
      • International Strategy Forum-Asia (ISF-Asia)
      • SRP Executive Programme
      • Terrorism Analyst Training Course (TATC)
  • Publications
      • RSIS Publications
        • Annual Reviews
        • Books
        • Bulletins and Newsletters
        • Commentaries
        • Counter Terrorist Trends and Analyses
        • Commemorative / Event Reports
        • IDSS Paper
        • Interreligious Relations
        • Monographs
        • NTS Insight
        • Policy Reports
        • Working Papers
        • RSIS Publications for the Year
      • Glossary of Abbreviations
      • External Publications
        • Authored Books
        • Journal Articles
        • Edited Books
        • Chapters in Edited Books
        • Policy Reports
        • Working Papers
        • Op-Eds
        • External Publications for the Year
      • Policy-relevant Articles Given RSIS Award
  • Media
      • Great Powers
      • Sustainable Security
      • Other Resource Pages
      • Media Highlights
      • News Releases
      • Speeches
      • Vidcast Channel
      • Audio/Video Forums
  • Events
  • Giving
  • Contact Us
  • instagram instagram rsis.sg
Connect

Getting to RSIS

Map

Address

Nanyang Technological University
Block S4, Level B3,
50 Nanyang Avenue,
Singapore 639798

View location on Google maps Click here for directions to RSIS

Get in Touch

    Connect with Us

      rsis.ntu
      rsis_ntu
      rsisntu
    RSISVideoCast RSISVideoCast rsisvideocast
      school/rsis-ntu
    instagram instagram rsis.sg
      RSS
    Subscribe to RSIS Publications
    Subscribe to RSIS Events

    RSIS Intranet

    S. Rajaratnam School of International Studies Think Tank and Graduate School Ponder The Improbable Since 1966
    Nanyang Technological University Nanyang Technological University

    Skip to content

     
    • RSIS
    • Publication
    • RSIS Publications
    • India’s Food Security Resilience: Some Tips for ASEAN?
    • Annual Reviews
    • Books
    • Bulletins and Newsletters
    • Commentaries
    • Counter Terrorist Trends and Analyses
    • Commemorative / Event Reports
    • IDSS Paper
    • Interreligious Relations
    • Monographs
    • NTS Insight
    • Policy Reports
    • Working Papers
    • RSIS Publications for the Year

    CO22051 | India’s Food Security Resilience: Some Tips for ASEAN?
    Jose Ma. Luis P. Montesclaros

    23 May 2022

    download pdf
    RSIS Commentary is a platform to provide timely and, where appropriate, policy-relevant commentary and analysis of topical and contemporary issues. The authors’ views are their own and do not represent the official position of the S. Rajaratnam School of International Studies (RSIS), NTU. These commentaries may be reproduced with prior permission from RSIS and due credit to the author(s) and RSIS. Please email to Editor RSIS Commentary at [email protected].

    SYNOPSIS

    The IMF recently lauded India’s food subsidies in helping minimise COVID-19’s impacts on food and economic insecurity. What are the lessons for ASEAN member states, where extreme poverty increased by 4.7 million amid the pandemic?

    Photo: Dulana Kodithuwakku via Unsplash

    COMMENTARY

    LAST MONTH the International Monetary Fund (IMF) released a report lauding India’s success of a 0% increase in extreme poverty amid the pandemic, through its food subsidy policies. Extreme poverty is tied to food insecurity, as it is measured as the share of the population with insufficient income to afford their most basic needs (including food). As the IMF report included food subsidies as part of real income of individuals, subsidised grains effectively prevented an increase in extreme poverty amid the pandemic.

    In stark contrast to India, ASEAN member states (AMS) saw an increase of 4.7 million people in extreme poverty, according to the Asian Development Bank’s report in March. What are the potential lessons for AMS from India’s subsidised grain distribution system which allowed it to provide significant food subsidies amid the pandemic?

    India’s Digital Ration Cards and Identity System

    The IMF report mentioned India’s Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) emergency safety-net policy, of distributing subsidised food to eligible poor households. This builds on India’s National Food Security Act (NFSA), where the government allocates grains for subsidised redistribution to lower-income households, to cover 75% of the rural population and 50% of the urban population.

    Digital technologies played an important role in the NFSA’s application. India’s Aadhaar national ID system gives each individual a unique, biometric-based (i.e., fingerprints) digital identity. The World Bank has touted this as the “most expansive” digital ID system globally, covering 1.3 billion people as of March 2022.

    Digital identities also reduce leakages of limited welfare resources to unintended beneficiaries, according to the Abdul Latif Jameel Poverty Action Lab (JPAL).

    India’s digital identity system in turn supported the implementation of food subsidies, through its “digital ration cards” (DRC) system. Over 222 million DRCs have been released as of 1 March 2022. This includes approximately 200 million cards for “Priority Households” (PH) with lower income levels, and 20 million cards for the poorest of the poor (Antyodaya Anna Yojana).

    This was further supported by e-Point of Sale (e-POS) machines for accurate, electronic weighing of grains. Over 166 million metric tonnes of subsidised grains have been distributed using this mechanism within India’s Fair Price shops.

    ASEAN’s Laissez-Faire Approach to Food Security

    India’s success builds on its unique adoption of digitalisation in food distribution. Such an initiative is not currently part of ASEAN’s approaches to digitalisation in agriculture.

    Last year, the 43rd Meeting of ASEAN Ministers on Agriculture and Forestry (AMAF) endorsed the “ASEAN Guidelines on Promoting the Utilisation of Digital Technologies in the Food and Agriculture Sector”.

    The application of digitalisation in AMS is to enhance food security and supply chain stability within laissez-faire market settings. Digitalisation in food production involves “smart farming” technologies (Internet of Things or “IoT”) to boost crop productivity amidst changing agro-climatic environments.

    Digitalisation within supply chains also includes e-commerce to help farmers increase their farming income by selling directly to consumers, and traceability technologies to assure food quality and safety. Altogether, AMS’ policies contribute to greater food availability and economic accessibility of food, by helping farmers raise their productivity levels and market competitiveness.

    Comparing Indian and AMS’ Approaches

    Similar to AMS, India is also seeing pockets of digitalisation following laissez-faire approaches, in both food production and in its supply chains, such as digital farmer advisory, e-commerce and traceability.

    What further distinguishes India is its ability to have an expansive subsidised grain distribution system to support its nation-wide DRC system. This system is not purely governed by laissez-faire principles, but rather is also supported by food security objectives.

    Given India’s low GDP per capita of US$2,000 per annum, it does not adopt a purely laissez-faire approach as this would risk having insufficient food stocks during disruptions, and in turn, relying on higher-priced imported grains in meeting its food consumption requirements.

    Its government thus intervenes in order to ensure sufficient domestic grain production and supplies, by committing to purchasing from farmers whatever crops they produce (within quality standards), at a Minimum Support Price (MSP) recommended by its Commission for Agricultural Costs and Prices (CACP).

    For instance, setting a higher MSP level signals to farmers to increase their adoption of technologies like fertilisers or better seeds, given the promise of higher profits.

    Laissez-faire + Food Security

    In turn, the government’s Food Corporation India (FCI), which procures crops and manages the country’s grain stockpiles, provides information on expected shortfalls in stockpiles owing to farming disruptions. This signals to the CACP when to raise the MSP levels in order to bridge food supply gaps.

    As a whole India’s combination of laissez-faire and food-security-focused stockpile management minimises the need to rely on more expensive grain imports, and in turn, allows it to subsidise a greater quantity of domestically produced food.

    In contrast to India, however, AMS, which follow a purely laissez-faire approach, make no such commitments of purchasing whatever grains are produced by farmers at a fixed price.

    Reconsidering ASEAN Approaches

    Today, ASEAN is seeing successive disruptions beyond COVID-19, including rising food and energy prices and food trade impacts of Russia’s invasion of Ukraine. India’s effective “shock-proofing” its food supply system has inspired this examination of its relevance to AMS.

    Given AMS’ laissez-faire approach to food security, India’s food security approach is not readily applicable to them. AMS do not provide guarantees to purchase farmers’ crops at pre-identified prices.

    In not doing so, however, AMS effectively leave to farmers the decision of how much food to produce, and fail to ensure sufficient food supplies during disruptions. In turn, this limits the scope of food distribution within AMS.

    In this regard, it is well-worth re-considering the merits of AMS’ current laissez-faire approach to food security, and whether more can be done through alternative approaches like India’s, in preparing for future disruptions.

    About the Author

    Jose M.L. Montesclaros is a Research Fellow with the Centre for Non-Traditional Security Studies (NTS Centre), S. Rajaratnam School of International Studies (RSIS), Nanyang Technological University (NTU), Singapore.

    Categories: Commentaries / Country and Region Studies / Non-Traditional Security / East Asia and Asia Pacific / Global / South Asia / Southeast Asia and ASEAN

    Last updated on 24/05/2022

    comments powered by Disqus
    RSIS Commentary is a platform to provide timely and, where appropriate, policy-relevant commentary and analysis of topical and contemporary issues. The authors’ views are their own and do not represent the official position of the S. Rajaratnam School of International Studies (RSIS), NTU. These commentaries may be reproduced with prior permission from RSIS and due credit to the author(s) and RSIS. Please email to Editor RSIS Commentary at [email protected].

    SYNOPSIS

    The IMF recently lauded India’s food subsidies in helping minimise COVID-19’s impacts on food and economic insecurity. What are the lessons for ASEAN member states, where extreme poverty increased by 4.7 million amid the pandemic?

    Photo: Dulana Kodithuwakku via Unsplash

    COMMENTARY

    LAST MONTH the International Monetary Fund (IMF) released a report lauding India’s success of a 0% increase in extreme poverty amid the pandemic, through its food subsidy policies. Extreme poverty is tied to food insecurity, as it is measured as the share of the population with insufficient income to afford their most basic needs (including food). As the IMF report included food subsidies as part of real income of individuals, subsidised grains effectively prevented an increase in extreme poverty amid the pandemic.

    In stark contrast to India, ASEAN member states (AMS) saw an increase of 4.7 million people in extreme poverty, according to the Asian Development Bank’s report in March. What are the potential lessons for AMS from India’s subsidised grain distribution system which allowed it to provide significant food subsidies amid the pandemic?

    India’s Digital Ration Cards and Identity System

    The IMF report mentioned India’s Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) emergency safety-net policy, of distributing subsidised food to eligible poor households. This builds on India’s National Food Security Act (NFSA), where the government allocates grains for subsidised redistribution to lower-income households, to cover 75% of the rural population and 50% of the urban population.

    Digital technologies played an important role in the NFSA’s application. India’s Aadhaar national ID system gives each individual a unique, biometric-based (i.e., fingerprints) digital identity. The World Bank has touted this as the “most expansive” digital ID system globally, covering 1.3 billion people as of March 2022.

    Digital identities also reduce leakages of limited welfare resources to unintended beneficiaries, according to the Abdul Latif Jameel Poverty Action Lab (JPAL).

    India’s digital identity system in turn supported the implementation of food subsidies, through its “digital ration cards” (DRC) system. Over 222 million DRCs have been released as of 1 March 2022. This includes approximately 200 million cards for “Priority Households” (PH) with lower income levels, and 20 million cards for the poorest of the poor (Antyodaya Anna Yojana).

    This was further supported by e-Point of Sale (e-POS) machines for accurate, electronic weighing of grains. Over 166 million metric tonnes of subsidised grains have been distributed using this mechanism within India’s Fair Price shops.

    ASEAN’s Laissez-Faire Approach to Food Security

    India’s success builds on its unique adoption of digitalisation in food distribution. Such an initiative is not currently part of ASEAN’s approaches to digitalisation in agriculture.

    Last year, the 43rd Meeting of ASEAN Ministers on Agriculture and Forestry (AMAF) endorsed the “ASEAN Guidelines on Promoting the Utilisation of Digital Technologies in the Food and Agriculture Sector”.

    The application of digitalisation in AMS is to enhance food security and supply chain stability within laissez-faire market settings. Digitalisation in food production involves “smart farming” technologies (Internet of Things or “IoT”) to boost crop productivity amidst changing agro-climatic environments.

    Digitalisation within supply chains also includes e-commerce to help farmers increase their farming income by selling directly to consumers, and traceability technologies to assure food quality and safety. Altogether, AMS’ policies contribute to greater food availability and economic accessibility of food, by helping farmers raise their productivity levels and market competitiveness.

    Comparing Indian and AMS’ Approaches

    Similar to AMS, India is also seeing pockets of digitalisation following laissez-faire approaches, in both food production and in its supply chains, such as digital farmer advisory, e-commerce and traceability.

    What further distinguishes India is its ability to have an expansive subsidised grain distribution system to support its nation-wide DRC system. This system is not purely governed by laissez-faire principles, but rather is also supported by food security objectives.

    Given India’s low GDP per capita of US$2,000 per annum, it does not adopt a purely laissez-faire approach as this would risk having insufficient food stocks during disruptions, and in turn, relying on higher-priced imported grains in meeting its food consumption requirements.

    Its government thus intervenes in order to ensure sufficient domestic grain production and supplies, by committing to purchasing from farmers whatever crops they produce (within quality standards), at a Minimum Support Price (MSP) recommended by its Commission for Agricultural Costs and Prices (CACP).

    For instance, setting a higher MSP level signals to farmers to increase their adoption of technologies like fertilisers or better seeds, given the promise of higher profits.

    Laissez-faire + Food Security

    In turn, the government’s Food Corporation India (FCI), which procures crops and manages the country’s grain stockpiles, provides information on expected shortfalls in stockpiles owing to farming disruptions. This signals to the CACP when to raise the MSP levels in order to bridge food supply gaps.

    As a whole India’s combination of laissez-faire and food-security-focused stockpile management minimises the need to rely on more expensive grain imports, and in turn, allows it to subsidise a greater quantity of domestically produced food.

    In contrast to India, however, AMS, which follow a purely laissez-faire approach, make no such commitments of purchasing whatever grains are produced by farmers at a fixed price.

    Reconsidering ASEAN Approaches

    Today, ASEAN is seeing successive disruptions beyond COVID-19, including rising food and energy prices and food trade impacts of Russia’s invasion of Ukraine. India’s effective “shock-proofing” its food supply system has inspired this examination of its relevance to AMS.

    Given AMS’ laissez-faire approach to food security, India’s food security approach is not readily applicable to them. AMS do not provide guarantees to purchase farmers’ crops at pre-identified prices.

    In not doing so, however, AMS effectively leave to farmers the decision of how much food to produce, and fail to ensure sufficient food supplies during disruptions. In turn, this limits the scope of food distribution within AMS.

    In this regard, it is well-worth re-considering the merits of AMS’ current laissez-faire approach to food security, and whether more can be done through alternative approaches like India’s, in preparing for future disruptions.

    About the Author

    Jose M.L. Montesclaros is a Research Fellow with the Centre for Non-Traditional Security Studies (NTS Centre), S. Rajaratnam School of International Studies (RSIS), Nanyang Technological University (NTU), Singapore.

    Categories: Commentaries / Country and Region Studies / Non-Traditional Security

    Last updated on 24/05/2022

    Back to top

    Terms of Use | Privacy Statement
    Copyright © S. Rajaratnam School of International Studies. All rights reserved.
    This site uses cookies to offer you a better browsing experience. By continuing, you are agreeing to the use of cookies on your device as described in our privacy policy. Learn more
    OK
    Latest Book
    India’s Food Security Resilience: Some Tips for ASEAN?

    SYNOPSIS

    The IMF recently lauded India’s food subsidies in helping minimise COVID-19’s impacts on food and economic insecurity. What are the lessons for ASE ...
    more info