The Hindu : Kerala / Thiruvananthapuram News : Steps to tackle black marketeering

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Thursday, May 29, 2008
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Kerala - Thiruvananthapuram

Steps to tackle black marketeering

Special Correspondent

Thiruvananthapuram: Food and Civil Supplies Minister C. Divakaran has said the government proposes to bring in legislation to tackle hoarding and black marketeering. The draft bill has been sent for approval of the Union government. If the bill fails to get the Centre’s approval, the State government will examine whether it could bring in legislation with State jurisdiction.

Addressing a late evening press conference here on Tuesday, Mr. Divakaran said it had been decided to make licences compulsory for godowns. Licence fee for new wholesale and retail shops would be Rs.5,000 and Rs.250 respectively.

The Minister said the government would conduct inspection of the godowns of monopoly retailers and action would be taken if the godowns were unlicenced. The Minister pointed out that there were several huge godowns that stored food grains without licence.

Action would be taken against traders who failed to display prominently the price list. All trading establishments were asked to file their sales returns once in two weeks to the District Supply Officer. This would be applicable also to supermarkets and hyper markets, he said.

The decisions were announced at the end of a high-level meeting with traders’ organisations and officials of the Food and Civil Supplies Department.

Retail chains

Mr. Divakaran said that monopoly retail chains are directly responsible for the unprecedented rise in prices of foodgrains and essential commodities in the State.

Speaking after inaugurating a new office building for the Integrated Cattle Development Project (ICDP) and Regional Artificial Insemination Centre (RAIC) here on Wednesday, the Minister said the mass procurement and hoarding by retail chains had led to a shortage of goods in the open market, pushing up prices.

‘Food crisis a rumour’

Mr. Divakaran said vested interests had spread rumours about an impending food crisis in the State. “Preliminary investigation revealed that rice was available in the market but at an inflated price. Government-controlled consumer outlets soon brought the situation under control by supplying rice at affordable price,” he said. Mr. Divakaran said the government was working on a plan to check price manipulation.

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