The Ministry of Consumer Affairs, Food and Public Distribution has issued a notification detailing the mandatory requirement for farmers selling their produce under the Price Stabilisation Fund (PSF) Scheme to establish their identity using their Aadhaar number.
This directive is implemented under Section 7 of the Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016, to ensure the benefit (payment for sold produce) is delivered in a convenient, seamless, and transparent manner.
The Central Government has notified that any individual desirous of availing the benefit (payment) under the Price Stabilisation Fund (PSF) Scheme must now undergo authentication or furnish proof of possession of their Aadhaar number. This requirement is effective from October 21, 2025.
The payments under the scheme are incurred from the Consolidated Fund of India. Implementing Agencies, such as the National Cooperative Consumers’ Federation of India Limited (NCCF) and the National Agricultural Cooperative Marketing Federation of India (NAFED), are responsible for executing the procurement operations under the scheme.
Provisions for Beneficiaries Without Aadhaar
The notification includes comprehensive remedial mechanisms to ensure that no bona fide beneficiary is deprived of the benefit, especially if they have not yet been assigned an Aadhaar number:
Individuals without an Aadhaar number must immediately make an application for enrolment. Implementing Agencies (NCCF and NAFED) must assist in this process by coordinating with Registrars or even establishing enrolment centers.
Until an Aadhaar number is assigned, beneficiaries aged 18 years or more can establish their identity by presenting the enrollment acknowledgment (containing the EID) along with one of several documents that contain their photograph:
- Elector’s Photo Identity Card (EPIC).
- Ration card.
- Indian passport or Driving licence issued in India.
- Disability certificate or Unique Disability Identification (UDID) card.
- Certificate/statement of marks for Matriculation, 10th, Higher Secondary, or 12th class.
- Identity card issued to serving or retired public servants.
For foreign nationals, acceptable documents include Overseas Citizen of India (OCI) Card, registration certificate for Tibetan refugees, or a passport/visa for nationals of Nepal and Bhutan.
Remediating Failed Authentication
The notification addresses instances where biometric-based authentication (fingerprints, iris, or facial image) fails due to issues like poor quality of biometric information:
- If one biometric mode fails, any other biometric mode or One-Time Pin (OTP) based authentication shall be offered.
- In cases where both biometric and OTP modes are impossible, the benefit may still be granted after establishing the genuineness of the Aadhaar number through offline verification of the digital signature certificate on the Aadhaar Secure Quick Response (QR) Code or the Aadhaar Paperless Offline e-KYC document.
The Ministry will ensure wide publicity through media to make beneficiaries aware of the Aadhaar requirement.