**Karnataka Government Releases Funds to Lorry Association, Ends Strike**
The Karnataka government has officially allocated Rs 244.1 crore to the lorry association to settle outstanding dues related to the Anna Bhagya food grain distribution scheme. This funding addresses transportation costs incurred from February to May 2025. In light of this decision, the lorry association has called off its strike and resumed operations.
The transportation of food grains under the Anna Bhagya Guarantee Scheme had been halted since July 7, as lorry owners protested against the government’s failure to pay over Rs 260 crore in dues since February. The Federation of Karnataka State Lorry Owners and Agents’ Association, along with the Karnataka State Public Distribution Food Grains Transport Contractors’ Association, highlighted that lorry operators had transported approximately 25 lakh tonnes of rice under the scheme during the period but had not received any payments.
On June 19, the contractors issued a 15-day ultimatum, threatening an indefinite strike if the dues were not cleared. They also requested the return of their Earnest Money Deposits and expressed financial distress, noting that many owner-drivers were struggling to meet obligations such as Employee Provident Fund, Employees’ State Insurance, and taxes. Despite multiple appeals, the associations claimed the government did not respond, leading to the work stoppage.
The lorry strike posed a significant risk to the Anna Bhagya scheme, one of the Congress party’s key initiatives announced before the 2023 Assembly elections. The scheme has already encountered several challenges, including a reduction in the monthly rice allocation from 10 kilograms to 5 kilograms since July 1, 2023, after the Union government declined to supply rice under the Open Market Sale Scheme. In response, the state initiated direct cash transfers of Rs 170 per beneficiary, calculated at Rs 34 per kilogram. However, following the Union government’s agreement to sell rice at a fixed price until June 2025, Karnataka resumed rice distribution in kind rather than cash.
In conclusion, the release of funds by the Karnataka government marks a crucial step in ensuring the continuity of the Anna Bhagya scheme and alleviating the financial strain on lorry operators, thereby stabilizing food grain distribution in the state.
**FAQ**
**What is the Anna Bhagya scheme?**
The Anna Bhagya scheme is a food grain distribution initiative by the Karnataka government aimed at providing subsidized rice to beneficiaries, ensuring food security for the state’s residents.
