Government to Modernize PDS with AI and Blockchain
The Indian government's Sarthak-PDS scheme, supported by an outlay of ₹25,530 crore over five years, is set to modernize the public distribution system using AI and blockchain. This initiative covers about 81.35 crore beneficiaries under NFSA.

Highlights
- •Government grants continuation of Sarthak-PDS scheme for modernizing PDS
- •Incorporates advanced technologies like AI, machine learning, and blockchain
- •Schemes covers 81.35 crore beneficiaries and focuses on last-mile delivery
- •Unified architecture ensures efficient management of food grain movement
The Indian government has approved the continuation of the Sarthak-PDS scheme, a multi-billion rupee initiative aimed at modernizing the public distribution system (PDS) through the integration of advanced technologies such as artificial intelligence and blockchain. The program is set to run until March 31, 2031, and will cover an estimated 81.35 crore beneficiaries under the National Food Security Act.
Transforming PDS for Citizens
This decision was made by the Cabinet Committee on Economic Affairs, headed by Prime Minister Narendra Modi. The Sarthak-PDS scheme combines assistance to state agencies for the intra-state movement of food grains and handling of fair price shop (FPS) dealers into a unified framework. It aims to modernize the PDS value chain from beneficiary identification to feedback systems, addressing transportation costs and dealer remuneration issues.
Union Minister Ashwini Vaishnaw highlighted that the scheme includes advanced features such as unified databases, real-time monitoring, AI-based grievance redressal, and command control centers at the state level. The implementation of technologies like artificial intelligence, machine learning algorithms, and blockchain will enhance transparency in the distribution process.
"The focus is on providing assured financial support for intra-state movement, handling food grains," Ashwini Vaishnaw said. "We are building a citizen-centric, interoperable PDS architecture to strengthen last-mile delivery and reduce leakages."
Beyond the immediate benefits, this scheme aligns with broader government initiatives such as end-to-end computerization of the Targeted Public Distribution System, Integrated Management of PDS, and SMART PDS. These efforts include digitizing ration cards, seeding them with Aadhaar details, and automating fair price shops through electronic point-of-sale devices.














