As Per The Discussion Topic :

"Why do you think the prices of essential commodities are increasing day by day and what measures do you think have to be taken?"

I want to say that If this current time is not easy to live for a mango people due to this increase of prices in daily life then how we will manage in future.

A normal person who's daily income is Rs 100, how he will manage his family, Rs 100 is not sufficient for a single person.

Middle Class people just think a lot if they buy a apple which is very costly, now forget about the apple, this time its very hard to buy a banana. These are the average price of some vegetables and fruits.

Name of the vegetable/Fruit - Price Per Kilogram (Kg)

Potatoes – Rupees 25 per Kg

Tomatoes - Rupees 20 per Kg

Onions - Rupees 20 per Kg


Apple - Rupees 70 per Kg

Banana - Rupees 30 per Kg

We are getting pay in rupees but the prices getting increase and taking the value of dollars. Prices of grains like Toor Dal quoted around Rs.58 a kg when compared to previous rates of Rs.45 a kg. Urad dal rose to Rs.55 than that of Rs.48 a kg earlier. Jaggery the common man’s sugar is costing around Rs.26 a kg almost equal to sugar prices. Even Non Veg. items like meat, fish, lamb etc are costlier day by day. Milk prices are at its peak and no one can control. Strangely, though there is no shortage of any essential commodity in the wholesale market, gradual increases in their prices are going on all the year round.

Forget the luxuries, even the basic necessity like health care have become unaffordable to those whose income is notpositively touched by the booming economy. When basic necessitates become unaffordable to a large section of the society, crime rates are bound to increase.

The known fact is rising of prices will make unstable the political parties. Our political parties always see their benefit, never see benefits of a normal people.

Industry of agriculture should double its food production, using less water than today. We need to concentrate on increasing production of rice, wheat grains, vegetables & pulses. We need a agricultural revolution which must contains the technical solutions to allow poor farmers to grow best and high production crops & also they should know about putting of investment in storage facilities to save their money. There should not be any corruption in distribution of food stuff.

The essential requirement for better farming are inter linking rivers, improvising the water resources, recycling of water, organic fertilizers, rejuvenate the soil from industrial pollutions Government should prove their political commitment.
We should not waste our food and use resources properly and in limit.

Lohit what ever points you said are correct however try to understand that the increase in commodities price is increase in international level however the profit made by those is used for other purposes and India has a very good growth rate in the last year and it was the only country that had less effect due to recession and day by day we are developing and it is really difficult for the government to tally even with the raise in international level and if they are raising the rates in India....

Hello Lohit and Deivigan,

Your points are absolutely right. Lohit said the Dal price is around 58 rupees per kg. It is a very old price. Now it is around 80 rupees per kg. Government is not taking preventive measures at all.

In andhra pradesh many dealers are storing the food grains and selling it in the black market at the higher prices. Many tonnes of kg's of dal are discovered during the checking. But all those dealers have big deals with the ministers and MLA's. Then the respective officers can't do anything and left those Dal to the dealers only. This same thing happened for other pulses and commodities too.

Main thing for increasing prices of the commodities are due to the black market. And government should give more importance to crop research. So that we can invent seeds which can sustain during the flood also. This should be taken immediately. Otherwise prices will increase every day.

The inflationary trend is due to several causes. One is ever increasing population boosting demand for products and services especially food grains. Needless to say, the resources are limited. Secondly, the production of goods and services does not keep pace with demand. The recent hike in Petrol and diesel prices and raising central excise by 2% is sure to increase prices. The finance Minister could avoid raising indirect taxes and instead not reduced direct tax burden.

Prices are indeed rising by faster rates, and this is really effecting the common public.
Its not a new thing because prices always rise faster than price indices. But last year, prices were on air. Everything, small or large, basic or luxurious, prices were at seventh cloud, almost out of the reach of the common person.
I think, Soon, the government will prove statistically how the increase in prices helped in a 20% weight reduction among the citizens of India.

Suprisingly last year India has imported large volumes of Milk fat, Lactose & Dairy commodities from international markets to cope up the festive demand in Sep/ Oct & November. This is driving the Dairy commodity prices every week with volumes shrinking and demand building up in India, China & Far east.

This price rally is not only limited to Sugar, Dairy or pulses this fiscal, but we are also experiencing the same in many other commodities like Gold, Bullion & Metal markets as well.

Indian households, particularly the middle class, could not have been hit harder. While prices of eight essential commodities - ranging from wheat, pulses, tea, coffee, sugar, spices and non-vegetarian products - has shot up an average 19% between July 2005 and August 2006, household incomes have increased only 6%.

Also, the demand for commodities in India is increasing by faster rates, but the supply is not upto that mark, that it can satisfy the common person hence the price hike. :blush:

The food prices are rising even if the qty demanded is more, contrary to general economic theory. In case of vegetable, the produce is less because of scanty rains; this is because of rise in temperatures, this is because of increase in pollution.. So, thers is a chain reaction. Also, black marketing is a reason for increasing prices, also there are a lot of middlemen. At one point of time Chandrababu naidu, the then CM of AP did a good move by allowing farmers to sell their produce directly.

Because of scanty rains.. first rain harvesting can be adopted. Then, people need to try to start cultivating basic plants like leafy vegetables in wide and old pots etc. for themselves.Agriculture and crop reasearch can be given more importance and funds granted to farmers to increase production- instead of spending on sports and films.

Deivigan wrote:
[quote]Lohit what ever points you said are correct however try to understand that the increase in commodities price is increase in international level however the profit made by those is used for other purposes and India has a very good growth rate in the last year and it was the only country that had less effect due to recession and day by day we are developing and it is really difficult for the government to tally even with the raise in international level and if they are raising the rates in India....[/quote]

Mr.Deivigan i am not agree with you. Leave the recession topic because India didn't get effect so much from recession. If there is so much effect on India then why prices got increase. Just take the example of sugar. Its price got doubled. why, because the big owners of sugar factory didn't out their stock to the market. They reserved sugar for a lot of time and when its price got doubled they sold it and made a lot of crores.