State govts on guard against hoarding; none reported in UP, Kerala

New Delhi, July 9 (UNI) With the rise in prices of essential commodities, state governments are taking several measures to check hoarding and ensure supply of goods even as the authorities in Uttar Pradesh, Goa and Kerala maintained there were no reports of hoarding.

In Madhya Pradesh, blaming the Centre for the spiralling price rise, Food and Civil Supplies Minister Gopal Bhargava admitted that there was no control on market forces with future trading coming to stay and abolition of Essential Commodities Act.

The situation was further aggravated with the Centre making two-thirds reduction in the state's foodgrain quota under the public distribution system, he said.

Taking exception to inviting only chief ministers of Congress-ruled states to discuss the price issue, the BJP minister said the Centre should have convened an all-party meeting of chief ministers and civil supply ministers of all states to discuss changing the policy to effectively check the price rise. ''The Centre's policies were responsible for the present spurt in prices,'' he added.

Meanwhile, prices of pulses marked a declining trend in the wake of threat by Commercial Tax Minister Babulal Gaur to withdraw tax concessions to traders as the relief through rationalisation of tax rates under VAT was not being passed on to the consumers, market sources said.

While kerosene is available in the retail market at Rs 25 per litre, the state government has issued directives to streamline kerosene distribution.

In Andhra Pradesh, the Enforcement wing of the Civil Supplies Department was maintaining a close watch to ensure availability of essential commodities in the open market.

The Department was closely looking at various options including making mandatory display of stocks by traders to prevent hoarding, sources in the department said, adding that there was no effective check on traders after control orders under the Essential Commodities Act were rescinded in 2002.

The Department was holding periodic meetings to review the prices of essential commodities in the open market and was making available, pulses, edible oil and tamarind through the public distribution system and 'Ryutu Bazaars(Farmers Market)' at resonable prices.

Uttar Pradesh was also feeling the brunt of price rise but there were no reports of hoarding from anywhere in the state.

The Centre allocation of wheat under the Public Distribution System (PDS) which had seen some problems in the last months was adequate.

The state government acts as an agency of the Central government to distribute wheat, rice, Kerosene and sugar under PDS. As many as 1.75 crore families either antodaya or below poverty line (BPL) benefitted under the scheme in addition to over two crore families above poverty line (APL).

The cases of hoarding or storage were addressed only when the Mandi Tax or purchase tax levied by the state government was not paid, Additional Food Commissioner of UP R N Singh told UNI, adding ''There is no complaint of hoarding or illegal storage in the state.'' Stung by the growing criticism of the Centre on the price rise issue, Congress President Sonia Gandhi and Prime Minister Manmohan Singh had directed the Chief Ministers of Party-ruled states on Wednesday to take stringent measures against hoarders and profiteers to curb rising prices to avoid further hardship to the ''aam aadmi''.

On their part, the Chief Ministers, had pledged to complement the ongoing efforts of the Centre to rein in the prices of essential commodities.

More UNI Team PK BD1159