Crackdown on groundnut hoarders

In a crackdown on hoarders, the enforcement wing of the Gujarat civil supplies department has launched a verification drive of oil and oilseeds stocks in the Saurashtra and Kutch regions to curb spiralling groundnut oil prices in the state, officials said.

"Teams of enforcement department conducted spot verification of oil and oilseeds stock with whole-sellers and retailers in Kutch, Rajkot, Junagadh and Amerli," a senior government official said.

Enforcement wing officials seized groundnut from an oil miller in Bhuj after the stock kept at the premises was found undeclared in the records, the official said.

According to guidelines issued by the civil supplies department a few months ago, whole-sellers and retailers have to declare the stocks kept within a fortnight.

In Ahmedabad, the price of groundnut oil was Rs 1,160 per 11 L compared with Rs 1,050 a month ago.

Officials carried out spot verification of groundnut stock at 22 places in Junagadh and Amreli districts, Saurashtra's main groundnut producing areas. In Rajkot too, checks were conducted at the premises of seven groundnut whole-sellers.

"In view of the spiralling groundnut oil prices, we have initiated this drive to ascertain whether prices are artificially jacked up by market players," the official added.

However, traders feel the stock verification drive will not bring down prices as edible oil production has gone down drastically in the last season leading to the price hike.

"Raw groundnut supply has been low in the previous season and this season too there will be a deficit as acreage has fallen," a Rajkot-based trader said.