THE MINISTER OF STATE (INDEPENDENT CHARGE) FOR CONSUMER AFFAIRS,
FOOD AND PUBLIC DISTRIBUTION (PROF. K. V. THOMAS)
(a) & (b): Measures to check rise in prices and maintain adequate
availability of essential commodities at affordable prices for consumers
is an ongoing process. Prices of essential commodities including pulses
are influenced by various factors. The Government in conjunction with the
State Governments adopt appropriate measures to mitigate the impact
of the price rise especially on vulnerable sections.
A Conference of Chief Ministers was held on 06.02.2010, which
was presided over by the Prime Minister to consider measures to
insulate the poor and vulnerable from adverse price movements. As a
follow up, a Core Group of some Chief Ministers and concerned
Central Ministers met under the Chairmanship of Prime Minister on
08.04.2010 and recommended inter-alia, setting up of a Working Group
on Consumer Affairs (under the Chairmanship of Chief Minister Gujarat
with CMs of Andhra Pradesh, Tamil Nadu and Maharashtra as its Members)
to suggest strategies/ plan of action for reducing the gap between
farmgate and retail prices and recommend measures for amendment to
and better implementation of the Essential Commodities Act,1955. These
include increasing efficiency of distribution channels from farm to
consumers, reducing intermediation costs and reducing the gap
between farm gate and retail prices, promoting State intervention
for retailing essential commodities at reasonable prices and
enforcement of Statutory provisions to improve availability of
essential commodities at reasonable prices.
The Standing Committee of Parliament on Ministry of Consumer
Affairs, Food & Public Distribution had in its 28th Report, inter-alia,
suggested that the Department should examine whether there is any
lacunae in the Essential Commodities Act, 1955. The State Governments/
UT Administrations were requested to send their views on the recommendation
made by the Committee. Responses had been received from 20 States/UTs
and these had been examined.
The Working Group on Consumer Affairs is expected to give
its report on March 2nd 2011; this would inter alia include measures
to improve the implementation of the Essential Commodities Act as per
its terms of reference indicated above.
(c) & (d): The enforcement of the Essential Commodities Act, 1955
lies with the State Governments/ Union Territories. The State Governments/
UT Administrations have been delegated powers to take necessary action
under the provisions of both “The Essential Commodities Act, 1955â€
and “The Prevention of Blackmarketing and Maintenance of Supplies of
Essential Commodities Act, 1980â€, to prevent hoarding and blackmarketing
of essential commodities. The State Governments/UT Administrations
have been repeatedly requested to strictly enforce both the Acts and also
monitor enforcement of these Acts.
In order to check price rise including hoarding and blackmarketing
of essential commodities the Government of India has in continuum taken
the following steps recently:-
(i) It is felt that the State Governments have a major role in
checking prices of essential commodities by curbing malpractices,
profiteering and hoarding through a set of administrative and
regulatory measures.
(ii) In January,2011 Video Conferences were held with the officers
of all States/UTs reiterating the need for enforcement of the provisions
of EC Act and PBM Act to curb malpractices and provide adequate supplies
of essential commodities at affordable prices and if required use State
intervention and facilitate alternate arrangements for augmenting
supplies of essential commodities.
(iii) Hon’ble Minister(I/C),(Consumer Affairs, Food & Public
Distribution) has also written to Chief Ministers of all States/UTs on
this issue vide letter dt.04.02.2011.
(iv) Hon’ble Minister (I/C), (CAF&PD) has convened a meeting of the
Ministers of Food/PD/ Consumer Affairs of South Zone on 03.02.2011 at
Thiruvananthapuram (Kerala), for North Zone (on 07.02.2011 at New Delhi),
East Zone (on 14.02.2011 at Kolkatta) and West Zone (on 17.02.2011 at
Mumbai) inter-alia, to control rise in prices and ensure adequate
availability of essential commodities at affordable prices for
consumers. It has also been reiterated that State Governments have a
major role in checking the prices of Essential Commodities by curbing
malpractices and hoarding through the administrative measures by using
the aforesaid legislative measures effectively.
(v) To enable the State Governments/UT Administrations to take effective
action for undertaking de-hoarding operations under the Essential Commodities
Act, 1955, it was decided to enable State Governments to impose stockholding
limits by keeping in abeyance some provisions of the Central Order dated
15.02.2002 in respect of edible oils, edible oilseeds, and sugar for the
period upto 31.03.2011 and pulses, rice and paddy for the period upto
30.9.2011.
(vi) The details of the raids conducted, value of goods confiscated and
persons booked for violation of rules under the Essential Commodities Act,
1955, during the year 2008, 2009 and 2010 as reported by State Governments/
UT Administrations are at Annexure I to III.
(vii) The State Governments/UT Administrations are empowered to detain such
persons under the Prevention of Blackmarketing and Maintenance of Supplies of
Essential Commodities Act, 1980, whose activities are found to be prejudicial
to the maintenance of supplies of commodities essential to the community.
Details of detention orders issued under the said Act and as reported to the
Central Government by the State Governments/UT Administrations during the year
2008,2009 and 2010 are given below:-
Name of the State 2008 2009 2010
Gujarat 16 31 79
Tamil Nadu 141 112 120
Orissa 01 02 02
Maharashtra - 02 02
Andhra Pradesh 04 - 01
Chhattisgarh - - 01
Total 162 147 205
