Hyderabad: With the prospects of a weaker monsoon getting clearer, the government on Wednesday said that it was closely watching the trend of rising prices and will take required steps to ensure adequate availability of food items in the domestic market. At present, onion prices are hovering in the range Rs 20-25/kg in Delhi. It was Rs 17/kg in the year-ago period.
According to some traders, the retail price of tomatoes has risen by 30 per cent in Mumbai in the last few days. “Onion and milk are important. We are closely observing the price trend and an appropriate action will follow, whenever required,” commerce secretary Rajeev Kher told reporters in New Delhi.
He was replying to a question whether the government is mulling any export restriction considering the possibility of deficit monsoon and rising prices.
Though there is no shortage of onion production, a Mumbai-based trader said farmers are holding back stocks due to the delayed monsoon, in expectation of higher prices later.
Food inflation has been politically-sensitive issue in India, with the ruling parties facing the ire of people. Prime Minister Narendra Modi, who made controlling price rise his main electoral plank, promised to take all steps to control prices.
“We will do this (control inflation) not only because it is our election promise but we want every poor to have access to food,” Mr Modi said in the Lok Sabha. With regard to rice and wheat, Mr Kher said the government has reviewed the situation and there is no cause of worry for wheat and rice at present.
Consumer affairs secretary Keshav Desiraju had recently said that the government will soon take a call on re-imposing minimum export price to curb exports.
