TCB goes digital to curb subsidy leakage

The Trading Corporation of Bangladesh (TCB) is introducing a range of digital services aimed at making the distribution of subsidised essential commodities more transparent, accountable and efficient.
The initiatives include digital TCB cards, the “Upokari” mobile app, an online dealer management system, an all-in-one point-of-sale (POS) system and artificial intelligence (AI)-based real-time monitoring.
Commerce, Industries and Textiles and Jute Minister Khandakar Abdul Muktadir announced the initiatives at a ceremony at the TCB conference room on Thursday, marking the launch of the state-run trading body’s digital transformation.
Engr Khaled Hossain Mahbub Shyamol, chairman of the Parliamentary Standing Committee on the Ministry of Commerce, and Commerce Secretary Md Ataur Rahman Khan attended the programme as special guests.
The minister said the country’s supply chain had yet to become fully efficient and uninterrupted, while significant price gaps often emerged between producers and retail markets.
Temporary supply shortages also contributed to market instability, making TCB’s role crucial in ensuring that low-income people receive essential commodities at subsidised prices, he said.
“Technology will not only increase transparency in TCB’s services but also help ensure that government subsidies reach genuine beneficiaries,” Muktadir said.

Digital cards to prevent exclusion
Under the new ‘Upokari’ mobile app, beneficiaries will be able to access TCB services through a secure digital platform alongside the existing physical card.
Their identity and eligibility will be verified using digitally signed and encrypted QR codes.
This will allow eligible beneficiaries to receive their allocated products even if their physical cards are lost or damaged.

Dealers to come under digital system
An online dealer management system will cover dealer applications, information storage and appointments, making the process more transparent and systematic. 
If the number of applicants exceeds the number of dealers required, a digital lottery will be used for selection.
An online payment collection system will also be introduced to make financial transactions easier and more transparent.

AI to monitor distribution
The all-in-one POS system will facilitate product sales, biometric verification, online payments and instant issuance of sales receipts.
An AI-based real-time monitoring system will track the quantity of products sold and distributed across different areas and flag potential irregularities, allowing authorities to detect problems and take prompt action.
TCB is also introducing an AI-based contact centre to provide beneficiaries with quicker access to information and assistance.

5.9m ineligible applicants removed
Around 5.9 million ineligible applicants have already been removed from the beneficiary list following verification of national identity cards, mobile phone numbers and other information, the programme was told.
A verified digital database has subsequently been created to help ensure that government subsidies reach genuine and eligible beneficiaries.
Currently, around 7.9 million people receive TCB services, while the government plans to increase the number to 10 million in the future, the minister said.

Tk350cr subsidy savings expected
The digital transformation and other initiatives are expected to save around Tk300-350 crore in subsidies in the current fiscal year compared with the previous year, Muktadir said.
The government also aims to significantly reduce subsidy wastage over the next four to five years through greater use of technology, more accurate beneficiary selection and improved management.
“Technology will be for the people, and services will be easy, transparent and dignified,” the minister said.
TCB Chairman Brig Genl Mohammad Faisal Azad chaired the programme and delivered the welcome address.
Senior officials of the commerce ministry and TCB, representatives of relevant organisations, journalists and other invited guests attended the event. The commerce minister and other guests later formally inaugurated TCB’s digital services.