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Retailers use truck strike excuse to charge more

April 16, 2003 13:33 IST
By BS Commodities Bureau in New Delhi

The foodgrains, fruits and vegetable market revealed a mixed response to the truckers' strike. While the prices of fruits and vegetables have risen on fears of a prolonged strike, several retailers and wholesalers continued to enjoy uninterrupted supply.

Rajinder Sharma, president of the Agricultural Produce Marketing Committee, said, "The arrivals of trucks at the mandis has been very good and, presently, we have adequate supplies of perishables. However, the fear of short supplies due to indefinite truckers' strike has led to an increase in the prices of fruits and vegetables."

Padam Chand, executive member, APMC, said, "There is no shortage of potatoes and onions, wholesale prices are stable but the retailers are taking advantage of the truckers' strike by increasing the prices."

While the wholesale rate of potatoes is Rs 1.50 per kg due to excess supply from Ghaziabad, Meerut and Sonepat, the consumer is buying it a Rs 5.75 per kg in the retail. Tomatoes too are priced at Rs 16 per kg compared to the wholesale rate of Rs 10 a kg.

Onions are selling at around Rs 195 per 40 kg up from Rs 180 per kg after the strike got underway, which was only a marginal rise at the wholesale level.

Yet taking advantage of the situation, retailers have begun to sell the commodity at a much higher rate of Rs 400 per 40 kg or Rs 10 a kg.

Generally, the daily arrivals of onions is around 70 trucks of 14-18 tonne each of which around 35 trucks are sold and the remaining retained for sale the next day. On the other hand, arrivals of potatoes average around 120 trucks of 12-14 tonne.

The end-sellers' have an easy excuse to increase the price as the consumers are unaware of the actual supply position, Trilok Chand Sharma, president of the Potatoes and Onions Merchants Association, said.

"There are many traders who are unaware as supplies have been regular," he added.

He said most of the supplies of vegetables and potatoes to the capital was from a range of 100-125 km and was usually made in tractors, tempos and trolleys.

Some fruits and vegetables such as onions and mangoes were transported by Railways, too.

The APMC president admitted if the agitation stretched beyond 3-4 days, supplies of onions, bitter gourd, green chilies, mangoes and pomegranates might be affected.

Fruits and vegetables were perishable commodities and an extended strike could lead to disruption of supplies.

On the other hand, foodgrains had arrived at mandis only last week and shortage in supplies would be felt only later.
BS Commodities Bureau in New Delhi

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