16-31 Mar, 2010 - Bharatiya Janata Party
16-31 Mar, 2010 - Bharatiya Janata Party 16-31 Mar, 2010 - Bharatiya Janata Party
Discussion on Price RiseLOK SABHALeader of Opposition in the Lok Sabha Smt. Sushma Swaraj kicked off the discussionon price rise under rule 193, in the Lower House of Parliament on February 25, 2010 andcriticized the Congress led UPA government for the unprecedented price rise. She hashighlighted the troubles caused by rise in prices of essential commodities and alsorevealed the plight of aam aadmi during the tenure of UPA govt. The following is thesynopsis of her speech in the Lok Sabha.Nation is facing unprecedentedprice rise underUPA regime : Sushma SwarajDuring the past five years,this is the ninth occasion whenwe are taking up discussion onthe issue of price rise under Rule193. Besides, we have taken upthis issue through CallingAttention and Special Mentions.We have been highlighting thetroubles and travails caused byprice rise in this Parliament thatthe prices are sky-rocketing. The basic food consumedby a common man comprises of flour, rice, pulses,mustard oil, tea, sugar, salt, spices and the vegetableswhich are getting beyondtheir reach. It is ironic thatthe poor are being deniedthe right of having twosquare meals.Her Excellency, thePresident, in her Addresshas referred to the burdenof price rise. The fourreasons attributed to theprice rise are stated to beshortfall in domesticproduction, the enhancedprices of rice, pulses andoil in the internationalmarket, payment ofincreased procurement prices to the farmers andincrease in the income in the rural areas. I think all thefour reasons are unfounded and beyond truth, sinceMarch 16-31, 2010 16the Agriculture Minister has himself stated whilespeaking in the Economic Editors’ Conference that theyear 2008-09 has been a good year for agriculture withthe agriculture production touching 233.38 milliontonnes of foodgrains. The P.I.B. has stated in its secondAdvanced Estimates for 2009-10, that we are going tohave agriculture production of approximately 217 milliontonnes this year and is it will be a little less than theaverage production. It may be mentioned that we werefaced with the shortage of 40 million tonnes of foodgrainsduring our term. Now, this Government seeks to escapefrom its responsibility under the cover of drought. Wehad to face cyclone in Orissa, earthquake in Gujarat,devastating floods and severe droughts during ourtenure. Though we had a shortfall of 40 million tonnesof foodgrains, however, we did not allow the prices torise in the market. We had opened the locks of ourThough we had a shortfall of 40 million tonnes of foodgrains,however, we did not allow the prices to rise in the market. Wehad opened the locks of our godowns. We had launched theFood for Work Programme. A new scheme, Annapurna, besideAntyodaya was also started whereby the quota of foodgrainswas raised from 10 kg to 35 kg to be sold at Rs. 2 and Rs. 3 perkg. This is the reason that during the tenure of our six years’rule, not a single discussion on price rise was taken up. Ourpriority was to bring down the prices by increasing foodgrainquota, whereas this Government is acting just opposite. Theyallow the prices to rise and cuts down foodgrain quota.godowns. We had launched the Food for WorkProgramme. A new scheme, Annapurna, besideAntyodaya was also started whereby the quota of
foodgrains was raised from 10 kg to 35 kg to be sold atRs. 2 and Rs. 3 per kg. This is the reason that duringthe tenure of our six years’ rule, not a single discussionon price rise was taken up. Our priority was to bringdown the prices by increasing foodgrain quota, whereasthis Government is acting just opposite. They allow theprices to rise and cuts down foodgrain quota. The firstreason for price rise is stated to be shortfall in domesticproduction which is not true. The second reason hasbeen attributed to the price rise of pulses, rice and oilin the international market, while in the internationalmarket, the price of wheat has come down from Rs. 11in December 2008 to Rs. 8.51 in February, 2010. Likewise,the price of rice came down fromRs. 14.59 in January, 2008 toRs. 14.45 in February, 2009.Hence, the prices have fallen inthe international market. Thethird reason is stated to be theenhanced payment of MinimumSupport Price to the farmers.As per the data available, TheMSP was Rs. 8.50 per kg. in2007-08, Rs. 10 per kg. in 2008-09 and Rs. 10.80 per kg in 2009-10. However, the consumersgot the flour at the rate of Rs.15 per kg. It was being sold atthe rate of Rs. 17 per kg whenthe MSP was Rs. 10. Similarly,it was being sold at the rate ofRs. 20 per kg when the MSPwas Rs. 10.80. The Governmentsays that the increase in MSPhas led to price rise. This pleacould be accepted if the marginbetween the MSP and themarket price has been Rs. 1.50to Rs. 2. However, there is norelation between the MSP beingpaid to the farmers and the retailprices prevailing in the market. So far as the farmers areconcerned, on one hand they are given relief, on theother hand the same is snatched from them. The increaseof Rs. 25 in Urea price is a recent instance. The pricesof all the inputs purchased by the farmers have goneup. The fourth reason advanced by the Government forthe price rise is stated to be the increased income of thepoor, as the Rural Development Programmes are statedto be implemented at an accelerated pace. Today, thelabour is doubly hit by the price rise as well as theMarch 16-31, 2010 17When there was recordproduction of sugar, anyforesighted Agriculture Ministercould think of creating thebuffer stock. But, buffer stockhad not been created and exportof sugar was allowed as a resultof which shortage of sugar wascreated in the country. But, wewere exporting sugar at the rateof Rs. 12.50 per kg andimporting it at the rate of Rs. 36per kg. In the process, the sugarmill owners have beenbenefitted. I demand from theGovernment that a JointParliamentary Committeeshould be constituted to enquireall the said scams.corruption. A labour gets Rs. 10,000 per annum if hegets the wages of Rs. 100 per day for hundred days ina year. This works out to be Rs. 850 per month. Now,the Government takes credit that the income of poorhas gone up.Here I would like to analyse and put forth the fourreasons of price rise which are the root-cause. Theseinclude wheat scam, the rice scam, the pulse scam andthe sugar scam. As far as wheat import scam isconcerned, in the year 2007-08 the MSP was Rs. 8.50 perkg while it was imported at the rate of Rs. 14.82 per kg.It means that the foreign farmers were paid Rs. 632 perquintal more. The second aspect of this scam is that thewheat export in 2007-08 wasbanned. However, the wheatwas allowed to be exported in2007-08, 2008-09 and 2009-10.Wheat was exported at the rateof Rs. 10.01 per kg in 2007.Likewise, it was exported at therate of Rs. 13.02 per kg. Whilethe flour in the country is beingsold at the rate of Rs. 20 per kgin 2009-10, it is being exportedat the rate of Rs. 12.51 per kg.Likewise, a scam has also takenplace in case of rice. It wasdecided that non-basmati ricewould not be exported in 2007-08. However, taking the peoplefor a ride, non-basmati rice wasexported under the cover ofbasmati rice.In the same manner, in thename of helping out the Africancountries, the export of nonbasmatirice was also allowed.But the consignment did notreach them and was divertedelsewhere. The third scamrelated to pulses. When theprices of pulses were sky-rocketing in the domesticmarket, the decision to import pulses was taken. But theimported pulses were kept lying at the ports. The traderswere ready to pay the demurrage but they did not liftthe stock in the hope of earning 3-4 times profit whenthe prices go up in the domestic market. The fourthscam relates to sugar. The whole sugar affairs arecontrolled by the Government. It is the Governmentwhich grants licenses to the open sugar mills, thenMSP is also decided by the Government, the levy sugar
- Page 2 and 3: to the service of the people. He th
- Page 4 and 5: Kindling a movementBy Arun JaitleyN
- Page 6 and 7: and particularly of Indira Gandhihe
- Page 8 and 9: LOK SABHADiscussion on the Motion o
- Page 10 and 11: UPA failed comprehensivelyon all fr
- Page 12 and 13: Generalise advisories are taken cas
- Page 16 and 17: is also procured by the Government
- Page 18 and 19: In a cabinet system, there is an el
- Page 20 and 21: BJP on BudgetAam aadmi dumped by aa
- Page 22 and 23: A post-budget discussion by CA Cell
- Page 24 and 25: Budget : States VoicesUnion Budget
- Page 26 and 27: State ReportsFrom Our Correspondent
- Page 28: ProformaNation-wide signature campa
foodgrains was raised from 10 kg to 35 kg to be sold atRs. 2 and Rs. 3 per kg. This is the reason that duringthe tenure of our six years’ rule, not a single discussionon price rise was taken up. Our priority was to bringdown the prices by increasing foodgrain quota, whereasthis Government is acting just opposite. They allow theprices to rise and cuts down foodgrain quota. The firstreason for price rise is stated to be shortfall in domesticproduction which is not true. The second reason hasbeen attributed to the price rise of pulses, rice and oilin the international market, while in the internationalmarket, the price of wheat has come down from Rs. 11in December 2008 to Rs. 8.51 in February, <strong>2010</strong>. Likewise,the price of rice came down fromRs. 14.59 in January, 2008 toRs. 14.45 in February, 2009.Hence, the prices have fallen inthe international market. Thethird reason is stated to be theenhanced payment of MinimumSupport Price to the farmers.As per the data available, TheMSP was Rs. 8.50 per kg. in2007-08, Rs. 10 per kg. in 2008-09 and Rs. 10.80 per kg in 2009-10. However, the consumersgot the flour at the rate of Rs.15 per kg. It was being sold atthe rate of Rs. 17 per kg whenthe MSP was Rs. 10. Similarly,it was being sold at the rate ofRs. 20 per kg when the MSPwas Rs. 10.80. The Governmentsays that the increase in MSPhas led to price rise. This pleacould be accepted if the marginbetween the MSP and themarket price has been Rs. 1.50to Rs. 2. However, there is norelation between the MSP beingpaid to the farmers and the retailprices prevailing in the market. So far as the farmers areconcerned, on one hand they are given relief, on theother hand the same is snatched from them. The increaseof Rs. 25 in Urea price is a recent instance. The pricesof all the inputs purchased by the farmers have goneup. The fourth reason advanced by the Government forthe price rise is stated to be the increased income of thepoor, as the Rural Development Programmes are statedto be implemented at an accelerated pace. Today, thelabour is doubly hit by the price rise as well as the<strong>Mar</strong>ch <strong>16</strong>-<strong>31</strong>, <strong>2010</strong> 17When there was recordproduction of sugar, anyforesighted Agriculture Ministercould think of creating thebuffer stock. But, buffer stockhad not been created and exportof sugar was allowed as a resultof which shortage of sugar wascreated in the country. But, wewere exporting sugar at the rateof Rs. 12.50 per kg andimporting it at the rate of Rs. 36per kg. In the process, the sugarmill owners have beenbenefitted. I demand from theGovernment that a JointParliamentary Committeeshould be constituted to enquireall the said scams.corruption. A labour gets Rs. 10,000 per annum if hegets the wages of Rs. 100 per day for hundred days ina year. This works out to be Rs. 850 per month. Now,the Government takes credit that the income of poorhas gone up.Here I would like to analyse and put forth the fourreasons of price rise which are the root-cause. Theseinclude wheat scam, the rice scam, the pulse scam andthe sugar scam. As far as wheat import scam isconcerned, in the year 2007-08 the MSP was Rs. 8.50 perkg while it was imported at the rate of Rs. 14.82 per kg.It means that the foreign farmers were paid Rs. 632 perquintal more. The second aspect of this scam is that thewheat export in 2007-08 wasbanned. However, the wheatwas allowed to be exported in2007-08, 2008-09 and 2009-10.Wheat was exported at the rateof Rs. 10.01 per kg in 2007.Likewise, it was exported at therate of Rs. 13.02 per kg. Whilethe flour in the country is beingsold at the rate of Rs. 20 per kgin 2009-10, it is being exportedat the rate of Rs. 12.51 per kg.Likewise, a scam has also takenplace in case of rice. It wasdecided that non-basmati ricewould not be exported in 2007-08. However, taking the peoplefor a ride, non-basmati rice wasexported under the cover ofbasmati rice.In the same manner, in thename of helping out the Africancountries, the export of nonbasmatirice was also allowed.But the consignment did notreach them and was divertedelsewhere. The third scamrelated to pulses. When theprices of pulses were sky-rocketing in the domesticmarket, the decision to import pulses was taken. But theimported pulses were kept lying at the ports. The traderswere ready to pay the demurrage but they did not liftthe stock in the hope of earning 3-4 times profit whenthe prices go up in the domestic market. The fourthscam relates to sugar. The whole sugar affairs arecontrolled by the Government. It is the Governmentwhich grants licenses to the open sugar mills, thenMSP is also decided by the Government, the levy sugar
Change language