Centre Asks States to Chalk Out Plan to Check Price Rise

States Ministers Conference on Price Control Measures Inaugurated

Inspite of record production of agricultural commodities, increase in prices of food items is matter of concern. It shows there is hoarding at some level. We have to take all steps to ensure availability of these commodities at reasonable prices. This was stated by Finance Minister, Shri Arun Jaitely while inaugurating State Food Ministers Conference. He said that some system have to be evolved to anticipate such rise and plan actions in advance. He expressed the hope that a joint action plan will be chalk out by the Conference.

Presiding over the conference, Shri Ramvilas Paswan, Union Minister for Consumer Affairs, Food and Public Distribution said that checking food inflation has become a priority agenda for the Government. He said that there is need to put in place a preventive strategy to minimise the adverse impact of various factors including late monsoon on the prices and availability of essential food items. We have to be well prepared with an advance co-ordinated strategy in collaboration with all the State Governments, he said.

Expressing concern over reported hoarding, Shri Paswan said that tough action is required by the States against those indulging in illegal hoarding and black marketing. Setting up of fast track courts for handling cases of hoarding and black marketing should be considered. While improving agricultural productivity is crucial for increasing the overall availability of essential food items, removal of any restrictions on their free movement to the final consumer are equally important for checking any undue speculative activities leading to hike in prices. This is a battle which has to be fought jointly by the Centre and the State Government and with a strong will and commitment if we have to ensure both availability and price stability, he said.

Shri Paswan said within short period the Government has been able to take a number of anti-inflationary initiatives like raising the Minimum Export Price (MEP) for Onion and Potatoes, release of additional stocks of Rice through the Public Distribution System (PDS), ensuring only marginal increase in procurement prices this year, etc. The implementation of the National Food Security Act which covers 75 per cent of the rural and 50 per cent of the urban poor for receiving highly subsidised food grains may also be one of the anti inflationary initiatives. He requested the States to implement the Act at the earliest.

Delivering his address the Agriculture Minister, Shri Radha Mohan Singh said that artificial shortage created by hoarders is responsible for increase in prices of some of the food items. There is need to improve supply chains and storage facilities for smooth supply of perishable commodities such fruits and vegetables. He asserted that there is urgent need for market integration, improved market infrastructure and better market information. He underlined that there has been continuous increase in agriculture production so there be no reason for recent increase in prices of these commodities; Still Government has taken several steps to check it.

Minister of State for Consumer Affairs, Food and Public Distribution, Shri Raosaheb Dadarao Danve also asked the states to work proactively to check price increase of food items.

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