Farm input subsidies and household food security: evidence from the Punjab Kissan Card Program in Pakistan

This research paper analyses the effects of the Punjab Kissan Card Subsidy Program (KCSP) on food security, utilizing primary survey data from 440 farming households PAN India based in four food insecure vulnerable districts of Southern Punjab- Lodhran, Rahim Yar Khan, Layyah and Muzaffargarh. A multi-stage stratified random sampling approach designed to select the respondents and to collect data on socio-demographic variables, livelihood activities and validated measures of food security was used, including Food Consumption Score (FCS) and the Household Food Insecurity Access Scale (HFIAS). A double robust econometric approach based upon Propensity Score Matching (PSM) and Inverse Probability Weighted Regression Adjustment (IPWRA) was used to correct for potential selection bias. Results indicate that there is heightened dietary diversity in participating households which have food secure status as measured by FCS toward higher levels and a reduced food insecure status as measured by HFIAS which declined on respective scores through the models. The positive impact of the program is generated the more the farmer has access to ICT tools and digital assistance to improve thereby the income accruing from the utilization of those tools hence highlighting what the digital inclusion can bring in maximizing that benefit from food insecurity generated by the KCSP. While the KCSP is shown to have considerable potential to improve food security in the participants, structural barriers exist, including tenant farmers excluded from the program, poor awareness and complexity of access and registration. Policy implications include simplifying access and registration, increasing digital literacy and providing complementary nutrition intervention focused initiatives that will ensure that the level of food security is potentially healthy, nutritional, beneficial and beneficial for all involved onward sustainably.