Swiftly acting on the sudden surge in onion prices, the State Government has swung into action to keep prices of the ‘root’ vegetable within the reach of common man. The Food and Civil Supplies department has not only issued notices to the traders to curb hoarding but also mulling to sell onion on controlled prices.
Minister for Food and Civil Supplies Saryu Roy said that the Government will keep a strict vigil on the stock limit of sellers and will also ensure that the demand supply gap is filled.
“As notices have already published in the newspapers, the department has sought traders to practice transparency in their trade through stated mechanisms to stop prices hitting the roof and also to escape penal actions under Acts promulgated for preventing black-marketing and hoarding of commodities. The injunction will remain in effect till July 2, 2016.”
“Though our first priority is to curb hoarding of the commodity we are also thinking of selling onions on controlled prices that will be anywhere between `22 and `25. For this purpose, the State Food Corporation may be roped in and outlets may be opened for the common man. More discussions regarding the proposal would take place on Thursday and we will soon take a decision in this regard,” Roy added.
Food and Civil Supplies Secretary Vinay Kumar Chaubey, however, said that the situation was not so alarming, but this is the time normally when prices start increasing. “This order against hoarding will remain in effect till one year. Deputy Commissioners are authorized to take actions if the stock is found above the limit,” he added.
As per the order of the department, traders of category B and C cities are allowed to maintain stocks up to 600 and 300 quintals correspondingly. All traders have been asked to disclose the quantity of onions received and maintained by them while import from other states besides goods in transit to the other states, sale and distribution in outside Jharkhand will not come under the purview of the order.
The notice issued at the behest of Union Ministry of Consumer Affairs, Food and Public Distribution has given immunity to stocks maintained with government’s support, stocks earmarked for distribution at fair price by authorised agents and reserves of the commodity maintained by retailers operating through multiple outlets.
Meanwhile, prices have already exhibited unwarranted rise as the commodity is now available at almost double the price over a month ago. Even as onion was sold at a retail price of Rs 25-30 per kg about a month back, it has now become dearer at Rs 40-45 per kg in Ranchi. The supply-demand gap is a common phenomenon between August and September as stored onion is released in the market during two months and fresh crops hit the market by early October thus leading to speculations and steep rise price in six to eight weeks.
According to sources, the central government had asked National Agricultural Co-operative Marketing Federation (Nafed) to keep the prices in affordable range by releasing stocks maintained by it balance supply of the staple food in eight cities including Ranchi. The federation was expected to begin supply from August.