Union Agriculture and Farmers’ Welfare Minister Shivraj Singh Chouhan on Friday launched a Central Bank Digital Currency (CBDC)-based Direct Benefit Transfer (DBT) pilot in Chandigarh, aimed at making foodgrain delivery under the Public Distribution System (PDS) more transparent, secure and timely.
The initiative was launched at Tagore Theatre in an event chaired by Punjab Governor Gulab Chand Kataria. Union Minister for Education, Consumer Affairs, Food and Public Distribution, and New and Renewable Energy Pralhad Joshi and Minister of State for Food and Public Distribution Nimuben Jayantibhai Bambhaniya attended the event.
Chouhan said the Chandigarh pilot would serve as a model for possible expansion of the system across the country. Under the new mechanism, financial assistance for ration and foodgrains will be transferred directly to beneficiaries through CBDC, with technological safeguards designed to ensure that the funds are used only for purchasing foodgrains and other essential food items.
The system will also provide beneficiaries with greater flexibility in choosing commodities. Besides wheat and rice, beneficiaries will be able to opt for pulses and other essential food items.
Chouhan said the safeguards address one of the limitations of conventional DBT, under which beneficiaries receive money directly in their bank accounts but may use it for purposes other than those intended. The CBDC-based mechanism is designed to restrict the use of the transferred benefit to eligible food purchases.
Chandigarh pilot aimed at wider rollout
Chouhan said the pilot would be evaluated and, if successful, gradually expanded to other parts of the country. He urged officials to identify and resolve local challenges during the implementation so that the system can eventually benefit families across India.
He described the initiative as a technological innovation aimed at strengthening transparency and reducing the scope for intermediaries and irregularities in foodgrain distribution.
The minister also highlighted the role of DBT in ensuring that government benefits reach beneficiaries directly. He said technology-driven delivery mechanisms can strengthen accountability while improving the efficiency of welfare programmes.
No compromise on farmers’ interests: Chouhan
Chouhan also reiterated that the interests of farmers would remain a priority in agricultural policy and international trade agreements.
He said India’s agricultural agreements with other countries are guided by national interest, farmers’ interests and public interest. Referring to India’s wheat and rice stocks, he said the country is capable of meeting domestic requirements and exporting foodgrains when necessary.
The minister also highlighted the direct and transparent transfer of benefits under schemes such as PM-KISAN Samman Nidhi, saying the government would continue to prioritise farmers’ welfare.
PM Garib Kalyan Anna Yojana highlighted
Chouhan praised the Pradhan Mantri Garib Kalyan Anna Yojana, under which free foodgrains are provided to more than 800 million people.
He said the scheme not only ensures food security but also reduces household expenditure among beneficiaries, allowing families to use their savings for education and other essential needs. He reiterated the government’s objective of ensuring that no poor person goes hungry.
Chouhan criticises Parliament disruptions
The minister also criticised disruptions in Parliament, saying democratic institutions must uphold the dignity of the Constitution and the democratic process.
He said debate and discussion are essential to democracy but disruption is unacceptable, adding that necessary decisions would be taken in the national interest.
Chouhan also appealed to citizens to participate in the Har Ghar Tiranga campaign and contribute to the country’s development. He urged people to undertake activities benefiting the environment, including tree plantation, while paying tribute to freedom fighters.
Reiterating Prime Minister Narendra Modi’s vision that the government should be visible not merely in files but in people’s lives, Chouhan said the Chandigarh initiative reflected efforts to use technology and public policy to deliver tangible benefits to ordinary citizens.
He also referred to the government’s target of making 60 million rural women financially prosperous by 2029 under the Lakhpati Didi initiative.
