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Kerala - Thiruvananthapuram Printer Friendly Page   Send this Article to a Friend

Soaring prices burn a hole in family budgets

N.J. Nair



THIRUVANANTHAPURAM: The State capital dominated by the middle-class, mainly government employees and pensioners , are finding the going tough as the prices of essential commodities continue to soar.

Worst is the plight of labourers, autorickshaw drivers and such others who survive on measly daily wages.

The hike in milk prices thrice, steep rise in the price of rice, vegetables and other essentials have taken a toll on their budget.

The polemics of the Central and State governments over inflation and the claims to tackle the crisis do not seem to have enthused the common man. They accuse the government of failing to make timely market intervention.

When the price of rice touched Rs.24 a kg, beef Rs.110, tomato Rs.32 and small onion Rs.26 in the retail market, it started reflecting in the fish market too and most of them relinquished such items from their daily menu.

According to Mohanan, a head load worker, a four-member family could have survived on his sole income of Rs.250 per day. Leave alone savings and entertainment, providing four meals a day and meeting other needs such as education, clothing and health have become a Herculean task.

Even a minor illness will upset the family budget, he says.

The essential middle class is always destined to bear the brunt of inflation. They are unable to compromise on their standard of living. A four-wheeler or even a two-wheeler has become a luxury. The ripples of inflation have reached the kitchen too, says Aanad Shaheed, an employee of the Agriculture Department.

Inflation has swallowed the hike in dearness allowance. Traders are having a field day. Under the cover of inflation when they exploit the public by raising the prices, the government remains a mute witness.

Routine raids headed by the Minister with the escort of television cameras have become a farce and hoarding goes unchecked.

Unemployees Agencies which runs a wholesale rice shop in the city too feels that retail dealers have to be blamed for the price hike.

Agency manager G.Alexkutty said though he was selling popular brands Surekha and Jaya for Rs.22 and Rs.20.50 per kg, the prices shot up to Rs.24 and Rs.26 at certain places.

“While the agency is selling ‘Palakkadan matta’ for Rs.21.50, certain outlets have raised it to Rs.24,” he says.

Kerala Vyapari Vyavasayi Ekopana Samithi leader Peringamala Ramachandran disputes the allegation. The maximum business of a trader in the local market will be to the tune of Rs.10 lakh.

His role is limited to that of an intermediary between the consumer and the wholesaler. How he can afford to hoard goods beyond a limit and manipulate the price line, he asks.

The heavy dependence on Andhra Pradesh and Tamil Nadu for all essentials has taken its toll. The curbs on exports imposed by the Centre are expected to yield results soon. Given the poor quality of rice, people are averse to go to ration shops.

The policy changes too have contributed its due. The 100 per cent FDI permitted in production, storing and market will have far-reaching impact in the local market. The government cannot make sustained market intervention to improve the situation, he says.

Ration Dealers Association secretary P.K. Sukumara Pillai said earlier ration shops were considered the outlets for BPL customers. “Inflation has driven APL customers too to such shops. With the price of ‘atta’ touching Rs.26 per kg in the open market, the demand for PDS atta has increased. Providing more goods including grocery items through the ration shops is an alternative,” he says.

While the debate over inflation is raging, sales in supermarkets run by multinational companies have not registered any dip. The upper class comprising IT professionals and businessmen continue to frequent such outlets. This justifies prominent grain dealer S. Pottivelu Pillai’s argument that people in the capital tend to buy only first quality goods and that is one of the main reasons for inflation.

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