The Cabinet on Monday extended powers of the state governments to fix stock limits on pulses, edible oil and edible oilseeds by another year. The power was to lapse on September 30. It will now remain valid till September 2013. Output of pulses and oilseeds are set to decline this kharif season by 14.61 per cent and 9.62 per cent, respectively, due to erratic monsoon. Food inflation stood at 9.14 per cent in August. “This will moderate the prices of these commodities and ensure its availability at fair prices to the general public,” said a government statement. The objective of control orders is to enable the states to continue to take effective de-hoarding operations.
Under Essential Commodities Act, 1955, by fixing stock limits and licensing requirements for these commodities, especially in view of rising prices and unsatisfactory monsoon.
The powers were granted initially in March 2009 for six months but have been regularly extended since then.
