To address many challenges in government procurement of cereals, the decentralized procurement was announced in 1997-98. This allows a state to procure cereals as per its requirement for distribution in different government schemes. Decentralized procurement (DCP) has the potential to benefit farmers of many states and reduce the distance between production, procurement, and distribution of cereals. This may reduce the cost of procurement and also the food subsidies of the Government. The DCP is a close-ended scheme that limits procurement from farmers. Digitalization in procurement ensures that only farmers participate in procurement and that only participating farmers’ bank accounts are credited. With these potential for the DCP, the present study is an attempt to evaluate it.
