Kerala - Thiruvananthapuram   

Government plans market intervention

THIRUVANANTHAPURAM: The government on Monday decided to intervene in the vegetable market to check the rise in prices.

Government agencies will open 200 vegetable shops across the State by next week to supply vegetables at subsidised rates as per a decision taken at an official conference convened by Agriculture Minister Mullakkara Ratnakaran and Food and Civil Supplies Minister C. Divakaran here.

The Food and Civil Supplies Minister told the media after the conference that vegetables would be procured from within and outside the State by the State Horticultural Products Development Corporation (Horticorp).

The Horticorp, Civil Supplies Corporation (Supplyco) and the State Cooperative Consumers’ Federation (Consumerfed) would run the outlets.

The Ministers said that the Horticorp would expand and strengthen its network to keep down prices. Its operations would be on a no loss, no profit basis.

However, they (the two ministers) would be approaching the Cabinet for sanction of subsidies in case there was a loss in the operations.

The objective was to bring the prices under check by Vishu (April 14).

The outlets would be functional at least for two weeks, they said.

They said that the Horticorp currently faced shortage of money and staff. To find funds, it had been asked to approach the banks.

Mr. Divakaran said that the government would be thinking of a permanent mechanism to check vegetables price with supporting legislation, if necessary.

A committee with Agriculture Production Commissioner K. Jayakumar had been formed to oversee the market intervention efforts.

It would have the secretaries in charge of Finance and Food and Civil Supplies as members.

The committee would meet on Tuesday.

Besides, official teams had been sent to Tamil Nadu to verify the supply situation, they said.

Traders had said that the price rice was the result of loss of vegetable crops in Tamil Nadu.

However, losses seemed to have been exaggerated.

Asked about Cooperation Minister G. Sudhakaran’s criticisms of delay in fixing procurement price for paddy damaged in rain, the Agriculture Minister said that the Cabinet, which had taken the decision to procure paddy, would examine the matter and expedite measures for procurement.

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