The rationing distribution system also called as PDS (Public Distribution System) distributes food to the end users. Here, we have proposed a system E-ration with QR Code Security. The existing conventional Ration card system consists of three categories of cards based on the user’s income and the information is updated manually which leads to unfair practices. In this system a QR code is initially generated for each new individual user, as a unique identification of that particular user only. The QR code will contain the entire details of the particular user. Similarly, the users database is stored which will also be carried by the concern admin person. It will be a smart card that will have QR code which will be scanned by any smart phones every time the person visits the ration shop. The user details, amount of commodities has been taken and amount remained will be checked after every scanning and be displayed on computers.