Date:02/04/2008 URL: http://www.thehindu.com/2008/04/02/stories/2008040261651200.htm

National

Measures to contain inflation inadequate: CPI, AIFB

Special Correspondent

NEW DELHI: The Communist Party of India and the All-India Forward Bloc on Tuesday reiterated their decision to launch a nationwide agitation against price rise. The CPI said the measures announced by the United Progressive Alliance government to contain inflation were “inadequate” and the AIFB described them as “cosmetic.”

Seeking withdrawal of the hike in prices of petrol and diesel, an end to import of large quantities of pulses, and the reintroduction of universal public distribution system, the CPI said, “the theories of imported inflation bring no comfort to hungry stomachs.”

The steps announced to bring down prices would not materially affect the rising prices of food grains and all essential commodities. “Within a month of presentation of the budget, the prices have registered nearly 20 per cent increase across the board. All promise of the good impact of the budget from April 1 have proved futile,” the CPI said in a statement here. The party noted that reducing customs duties on a few items and curbing export of non-basmati rice was “not enough.” The ban on forward trading should be extended from the present four commodities to all the 25 essential commodities. Dehoarding measures should be taken in all States with people’s cooperation. The government should reintroduce universal public distribution system and ensure that adequate supplies of food grains and other essential commodities were fixed at subsidised rates.