Question : Rise in Prices of Food Products

(a) whether the retail prices of the food products of daily use have been rising continuously in the country for the last several years including in 2018;
(b) if so, the details thereof;
(c) whether the prices of several products had sky rocketed in the last three years;
(d) if so, the names of such food products and their maximum consumer selling prices; and
(e) whether the Government has taken into account the reasons for this price rise, if so, the details thereof and the reaction of the Government thereto?

THE MINISTER OF
CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
(SHRI RAM VILAS PASWAN)

(a) to (e) : A Statement is laid on the Table of the House.
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STATEMENT REFERRED IN REPLY TO PARTS (a) TO (e) OF LOK SABHA STARRED QUESTION NO.*88 FOR 24.07.2018 REGARDING RISE IN PRICES OF FOOD PRODUCTS RAISED.
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(a) to (d) The all India yearly average retail prices of most of the 22 essential food items monitored by Department of Consumer Affairs have declined or remained relatively stable over three years including the year 2018 so far. Details are at Annexure. Prices of food items like pulses (gram, tur, urad, moong, masoor) and edible oils like mustard and groundnut (packed) have declined over three years. However, food items like rice, atta, vanaspati oil, soya oil and palm oil (packed), onion and milk have shown some increase.

(e) Increase in prices of food items is mainly on account of demand supply mismatch owing to shortfall in production because of adverse weather condition and seasonality, increased transportation costs, supply chain constraints like lack of storage facilities and artificial shortage created by hoarding and black marketing.
Government has taken various measures from time to time to stabilize prices of essential food items which, inter-alia, include appropriately utilizing trade and fiscal policy instruments like import and export duty, Minimum Export Price, export restrictions, etc. to regulate domestic availability and moderate prices; imposition of stock limits and advising States for effective action against hoarders & black marketers ; and, provision of higher Minimum Support Prices to incentivize farmers for increasing production. Government is also implementing Schemes which, inter alia, include Mission for Integrated Development of Horticulture (MIDH), National Food Security Mission (NFSM), National Mission on Oilseeds and Oil Palm (NMOOP), etc for increasing agricultural production and productivity through appropriate interventions. Besides, Government is also implementing Price Stabilization Fund (PSF) to help moderate the volatility in prices of agri-horticultural commodities like pulses, onion, and potato.

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