Railways too burns holes in common man’s pocket

Adding to the woes of the common man, already affected by soaring onion prices, the railway ministry has increased the freight rate for sugar, essential commodities and chemical measures.

This is the first time that there has been a hike in freight rates under Mamata Banerjee’s regime.

Freight charges of sugar have been increased by Rs9 per quintal apart from jacking up rates of essential commodities as well as manures.

The new freight rate structure will be applicable from December 27. Haulage rate hike is likely to have a bearing on the prices of commodities for the end-user. It could, in turn, have an impact on inflation.

The railway ministry is reeling under a fund crunch and the move to increase freight rates seems to be a beginning of price hikes, including those in passenger fares.

Railways need funds to the tune of Rs14 lakh crore in 10 years.

The planning commission believes the ministry should hike passenger fares to recover its annual losses worth Rs14,000 crore on passenger operations.