VIJAYAWADA: Rice, the staple food for people of the State, has become costlier, putting an additional financial burden on households, who are already struggling with the rising prices of essential commodities.
The price of a 26 kg rice bag, which stood at Rs 1,700 to Rs 1,800 between March and August, has now increased to Rs 2,200, registering a rise of nearly 25 to 30 per cent in just two months.
The sharp rise in rice prices has exposed the failure of the Civil Supplies authorities to effectively regulate the market, and check millers’ pricing practices, leaving middle income families under severe financial stress.
The price rise has gathered pace almost by the day, with fine rice currently selling at Rs 80 to Rs 85 a kg. If the trend continues unchecked, the rice price may touch Rs 100 a kg, putting the staple food beyond the comfortable reach of a large section of households.
The sharp increase has brought the role of rice millers under scrutiny. Allegations have emerged that rice millers are forming a syndicate, holding stocks, and exploiting the prevailing supply situation to maximise profits at the expense of consumers.
Total quota cannot exceed 50% limit: SC
The rising prices of essential commodities has made it increasingly difficult for households to manage their monthly food expenditure.
The present situation has been aggravated by El Niño conditions. The Kharif yield is likely to be low due to reduction in crop acreage and damage to paddy crop. However, the current shortage does not fully explain the steep rise in prices of rice stocks already procured and stored by millers.
A substantial quantity of rice currently held by millers was procured before the impact of the present crop situation became evident. The stocks are now reportedly being released at higher prices, citing reduced production and the prevailing shortage. This has raised concerns over hoarding, artificial scarcity and coordinated price increases among millers and traders.
“The sudden rise in rice prices has come as a shock. I purchased a 26 kg bag of Sona Masoori for Rs 1,750 last month, but the same bag is now priced at Rs 2,175. Rice has become more costly for families like ours. If the prices continue to rise at this rate, it will become increasingly difficult for ordinary families to manage their daily needs,” said K Satyanarayana of Penamaluru.
There is also growing public resentment over what is being described as administrative apathy, and alleged preferential treatment towards millers. Questions are being raised over why timely measures have not been taken by the civil supplies authorities to protect consumers, and prevent the staple food from becoming increasingly unaffordable.
“The millers have increased the rates sharply, and we are also shocked by the sudden escalation. We do not know what to tell customers when they question us about the steep price rise. The millers are citing rice exports and the impact of El Niño as reasons for the increase,” said S Srinivasa Rao of Vara Lakshmi Traders.
The pressure on household budgets is being compounded by a sharp increase in vegetable prices too.
Tomato, brinjal, green chilli, bitter gourd and ridge gourd are being sold at more than Rs 40 a kg even at Rythu Bazaars, while prices in the open market are nearly double in several places.
Onion prices have also risen sharply, adding to the burden on households.With vegetables, rice, onions and other provisions becoming increasingly expensive, ordinary families are finding it difficult to manage even their basic food requirements.
The cumulative impact of these price increases is particularly severe for low and middle-income household.
With fresh paddy supplies expected only after a couple of months, there are concerns that rice prices could rise further unless adequate stocks are released into the market.
