Thursday 29 May 2014

Rising Inflation - Whom to Blame ?

Rising Food Inflation is one of the main worries of Govt. of India. One of the recent paper by ASSOCHAM has found that difference between wholesale price and retail price of essential vegetables have gone beyond 49 % in 2013-14. Generally it is around 30 %. The study was conducted in 33 market centres of India. The centres which were charging more than 50 % of the wholesale prices were Amritsar (120.5 %), Abohar (107.4 %), Agra (90.2%), Nagpur (82.8%), Ahmedabad (69.4%), Delhi (68.9%), Chandigarh (68.5%), Dehradun (67.4%), Jaipur (64.6%) and Mumbai (63.5%).The essential vegetables incorporated in the paper are bitter gourd, Brinjal long, Brinjal round, Cabbage, Cauliflower, Garlic, Ginger, Chilly, Okra, Onion, Peas, Potato fresh, Potato store, Tomato hybrid and Tomato local, highlights the paper. In order to tackle this type of crisis, Govt. policies should be driven at strengthening post harvest infrastructures at wholesale level and strengthening of PPP Models at retail level and promotion of SAFAL type models that will help in checking the prices of essential agro commodities at retail level. 


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