The heavy bursts of unseasonal rains along with hailstorms and strong winds have damaged crops and spiralled vegetable and fruit prices by 15-50% across the country. But while the government has been able to keep the wholesale price under control , there is no let-up in retail prices, which actually pinch consumers.
The heavy bursts of unseasonal rains along with hailstorms and strong winds have damaged crops and spiralled vegetable and fruit prices by 15-50% across the country. But while the government has been able to keep the wholesale price under control , there is no let-up in retail prices, which actually pinch consumers. But also raise a bigger question, who actually takes the advantage of spiralling prices? Congress spokesman Ajoy Kumar on Thursday questioned why the sharp increase in prices was not reaching the farmers.
According to the latest price index available from Asia's largest fruit and vegetable market at Azadpur in Delhi, while onion were selling at Rs 17 a kg (Rs 680 for 40 kg, katta), in retail it was selling at Rs 30. Similarly, while tomato was selling at Rs 20 in wholesale, retail consumers were paying Rs 30 for a kg. Ladyfinger, which sells at Rs 35/kg in wholesale market, is priced Rs 100/kg in retail. The cauliflower priced at Rs 13/kg at Azadpur mandi reaches consumers at Rs. 13/kg. The peas reach to consumers Rs. 40/kg, double price as it sells just Rs. 20/kg at wholesale market.
Prime minister Narendra Modi during his election campaign had promised to increase profits of farmers to 50% of their cost of production of crops. In Lok Sabha rolling out figures, Congress MP Deepender Singh Hooda said over past nine months these profits have come down in case of rice from 35% to 7% and for wheat from 33% to 20%, as per the Maximum Support Prices (MSPs) announced by the central government. An example of decreasing rural incomes could be that sale of rural motor cycles have decreased by 13% in 2014-15 over past year and the sale of tractors have decreased by 25%, first time in past 15 years.
A report by a trade body Assocham has also concluded that the wholesale price index has only benefited middlemen and traders multiple times and in the process, the worst hit has been the farmers and the consumers. While the margin of farmers is squeezed, the consumers end up paying unreasonably higher prices. The study conducted by the trade body last year, found 18 centres charging more than the all-India average wholesale and retail price and the retail prices were over and above 85% to the wholesale prices. The wheat prices were down 1.62 per cent from a year earlier in the wholesale markets here, but the retail prices were ruling 7.14 per cent higher.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}