Centre selling essential articles at high prices: Minister

January 27, 2010 06:41 pm | Updated 06:41 pm IST - THIRUVANANTHAPURAM

Food and Civil Supplies Minister C. Divakaran said here on Wednesday that the Central agencies, Kendra Bhandar and Nafed, were selling essential articles at double the sale price of the Kerala State Civil Supplies Corporation (Supplyco).

The Kendriya Bhandar at Kochi was selling rice at Rs. 24.81 a kg in Kochi, whereas the Supplyco was selling rice at Rs. 13 a kg. Supplyco sold sugar at Rs. 25 a kg, while the Central agencies sold it for Rs. 42.25 to Rs. 48 a kg. Similar was the case with prices of Bengal gram, pulses and red gram.

The Minister said that the Centre was responsible for the rise in sugar prices as it controlled imports, also discontinuing distribution of sugar through the public distribution system. The Centre was supplying green gram through the Central agency, Project Equipment Commodity, at Rs. 51.20 a kg at Mumbai Port. However, the supplyco was selling it at Rs. 28 a kg after paying the transportation charges, he said.

Refuting allegations made by Union ministers of State from Kerala, the Minister said that the Centre’s stand was cruel and unfortunate. The Supplyco did not sell Bengal gram supplied by the Centre at a high price. The imported ungraded bulk stock was supplied at Rs. 15.89 a kg at Chennai port. The cost went up to Rs. 26 a kg on clearing of the stock, removal of dirt and waste materials, transportation to Kerala and payment of value added tax. The supplyco had sold the gram along with stock purchased through e-tenders at a higher price for an average price of Rs. 27 a kg.

Denying diversion of wheat, Mr. Divakaran said that only part of the wheat supplied under open market sale scheme was sold to small traders and mills as the ration dealers and consumers were not willing to buy at the price suggested by the Centre. The rice received under the scheme was subsidised by the State. Still, the off take was low as the quality was poor. The Cabinet would decide on what was to be done by the remaining stocks received under the scheme. All these showed that the campaign by the Union ministers against the State government was ill-intentioned and aimed at helping private monopolies.

He said that the special quota of rice wheat supplied by the Centre during Onam at procurement price had been sold fully through the public distribution system. There was no problem in their sale because of the lower prices.

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