WPI inflation eases to 10.66 pc in Sep on lower food prices

Guwahati: A parliamentary panel has asked the Centre to look into the issue of consumers living in the northeast areas of the country who have to pay higher prices for commodities of daily consumption due to various factors.

This was stated in a parliament committee report on Initiatives in the North East in the Field of Consumer Rights Protection laid in the Parliament.  

When asked about the reasons for higher prices of gram dal, tur/ arhar, moong dal, masoor dal, soya oil, and sunflower oil prevailing in the region, compared to prices prevailing in other regions during the last three years, the Department of Consumer Affairs stated that the prices of commodities are higher in consuming states as compared to producing States due to transportation and other logistics costs. “As the North Eastern States are largely consuming States and also located far away from major producing and processing areas for commodities such as gram dal, tur dal, moong dal, masoor dal, soya oil, sunflower oil, the prices tend to be higher,” it stated.

It said the prices of essential food commodities are volatile as they tend to be affected by several factors, such as mismatch in demand and supply, seasonality, supply chain constraints, artificial shortage created by hoarding and black marketing, rise in international prices etc. Sometimes slight disruptions in the supply chain or damage due to heavy rains lead to a spike in prices of agri-horticultural commodities.

The Committee notes that prices of commodities are normally higher in consuming States such as the North East area as compared to producing States due to transportation and other logistics costs.

The Committee also notes that consumers in the northeast suffer due to recurrent bandhs and strikes. However, there is no impact study on such bands and strikes. As a result, prices of essential commodities see an abnormal increase in the region.

“Besides slight disruptions in supply chain or damage due to heavy rains lead to a spike in prices of agri-horticultural commodities,” it said.  

The Committee said the Price Monitoring Division of the Department of Consumer Affairs monitors prices prevailing in the country from 184 centres, which includes 86 centres from the northeast states. While expressing their appreciation for the Department of Consumer Affairs for monitoring prices prevailing in the northeast from 86 centres, the Committee desired such centres in the northeast be made functional and their uses optimised.

On the functioning of the State Consumer Protection Council (SCPCs), which shall hold not less than two meetings per year, the Committee found that Arunachal Pradesh has constituted the State Consumer Protection Council (SCPC) but held no meeting, while 18 District Consumer Protection Councils have, however, been constituted in that state. Formation of the Commission at State and District levels is nil in Tripura, Mizoram and Sikkim. Manipur and Nagaland have one and eleven District Commissions each, without having constituted the SCPC. As regards Assam, it has constituted the SCPC but has not held any meeting yet. Only Meghalaya has constituted the SCPC and held meetings at all.

The Committee has requested the Central Government to see that the mandates of Section 6(3) and 8 of the Consumer Protection Act, 2019 are fulfilled in each of the States of the North East so that the consumers in the region feel assured of their rights and have a sense of belonging with the rest of the country.

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