In the current economic scenario, the question of controlling prices of food articles has assumed significance. “The global demand-supply situation has pushed up food prices steeply. Despite inflation seeing a downward trend, prices that one pays for food continues to remain high, especially those of rice, sugar and pulses,” said V Prakash, director, Central Food Technological Research Institute.
Speaking to Business Standard, he pointed at rice prices reaching as high as Rs 36 from Rs 25 in one year. Similarly, sugar prices have gone up from Rs 19 to 27, toor dal, urad and rajma red at Rs 52 to 65, and bansi sooji at Rs 27 to 33 in one year. Support prices of a few varieties have garnered better premium to others, he said.
Elaborating on the economic situation in the country, Prakash said it was fascinating to see most of the Indian companies going strong under the present market downturn. It was their faith in the rural market and investments to tap the unlimited market, the Mysore based food lab chief said adding, banks must take clue and focus on the core expertise to capitalise on this.
“It is very fascinating to see the top Indian companies keeping more faith today in the rural market than in the urban market. Today’s trend is when there is a problem, the best resort is to go to rural, which has volumes of markets,” he said. However, the corporate India should not forget that it had a corporate social responsibility, he noted.
To address issues arising out of currency volatility, small scale industries should have financial advisors, who are capable of making budgets of tomorrow, he added.
Stressing upon the role of banks in the current situation, the CFTRI director said they must be more proactive in public private partnership model to build more micro-economies to funnels a large a macro economies.
“We have to see the Indian model more than the global situation model to build a strong economy and good growth pace. We must see the global situation and adjust our local system accordingly,” he said, calling for an Indian model to face the global economic and market situation which would benefit the food front too.
