Question : INTEGRATED PLAN FOR PRICE CONTROL



(a) the details of the steps taken to control the prices of essential commodities including operations against hoarders/black marketeers and the success achieved as a result thereof;

(b) whether the Government proposes to facilitate setting up of a `Market Intervention Fund`/`Price Stabilising Fund` to tackle the rising prices of essential commodities;

(c) if so, the details and the salient features thereof along with the agency proposed to be designated to administer the said Funds and the benefits likely to accrue to the consumers therefrom; and

(d) the details of the integrated action plan formulated including improvement in the Public Distribution System (PDS) and check on speculation in coordination with the States for improving supply/availability of the essential commodities, with a view to check rising prices?

Answer given by the minister


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

(a) to (d) : A Statement is laid on the Table of the House.

STATEMENT REFERRED IN REPLY TO PARTS (a) TO (d) OF LOK SABHA STARRED QUESTION NO.208 FOR 22.07.2014 REGARDING INTEGRATED PLAN FOR PRICE CONTROL.

(a) & (b) : The recent steps taken by the Government to improve the availability and to contain prices of essential food items include the following:

# Minimum Export Price (MEP) fixed for potatoes at USD 450 per M.T. w.e.f. 26.06.2014 and of onions at USD 500 per M.T. w.e.f. 2.07.2014 respectively.

# States have been advised to allow free movement of fruits and vegetables by delisting them from the APMC Act.

# Government has approved the release of additional five million tonnes of Rice to BPL & APL families in states pending implementation of National Food Security Act (NFSA).

# Advisory to State Governments issued to take action against hoarding & black marketing and effectively enforce the Essential Commodities Act, 1955 & the Prevention of Black- marketing and Maintenance of Supplies of Essential Commodities Act, 1980.

# Imposed stock limits in respect of onion and potato for a period of one year with effect from 3rd July, 2014 under the Essential Commodities Act.

# Based on interaction with the State Governments/UTs on 4th July, 2014, a decision has been taken to amend the Essential Commodities Act to make hoarding and black marketing a non bailable offence and increase the period of detention to one year from existing six months.

Following the above steps the average retail prices of many essential food items have remained stable/declined or shown only a marginal increase as shown in the Annexure.I

(c) : In the Union Budget 2014-15, a sum of Rs.500 crore has been provided for establishing a Price Stabilization Fund with the objective of protecting the farmers from price volatility in agricultural produce. Modalities of operation of this fund have not yet been finalized.

(d) : In the Conference of Ministers of Consumer Affairs, Food & Public Distribution of States and Union Territories held at on 4th July 2014 at New Delhi, a joint six month Action Plan to address the issue of food inflation was agreed upon as per details given at Annexure-II.

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