Date:06/06/2006 URL: http://www.thehindubusinessline.com/2006/06/06/stories/2006060601871900.htm

Back Kerala flays move to raise ration prices

Our Bureau

Thiruvananthapuram , June 4

The Kerala Government has come down heavily on the Centre's move to raise the prices of rice and wheat sold through the public distribution system (PDS) by cutting back on subsidy.

Also under fire from the State Government is the Centre's decision to reduce the quantity of rice and wheat to be supplied through the rationing system.

Public distribution system

In a statement here on Sunday, the Minister for Food and Civil Supplies, Mr C. Divakaran, said that the Centre's move would come in the way of the Government's resolve to strengthen the public distribution system in the State.

He noted that the monthly allocation of wheat under PDS for families above the poverty line had been reduced by 25,548 tonnes (from 37,325 tonnes to 11,777 tonnes) from June 1, 2006. Similarly, the monthly quantity of wheat for families below the poverty line had also been cut down from 8,865 tonnes to 7,336 tonnes.

Monsoon fury

The Centre had announced that the reduction in allocations would continue till March 2007. This would not only seriously impair the State Government's public distribution programmes but also lead to spiralling of price in the open market, the Minister said.

In Kerala, which is reeling under the monsoon fury, the situation calls for free supply of ration items. It being so, the allocations under PDS should actually be raised, the Minister said.

The Chief Minister, with the co-operation of the Members of Parliament from the State, would take up the issue with the Prime Minister and the Union Food Minister, he added.