During a Left Democratic Front (LDF) meeting, approval was granted for a proposal to raise retail prices on 13 essential commodities distributed by Supplyco, along with subsidies. The percentage increase for each item will be determined by the Food and Civil Supplies department.
LDF convener E P Jayarajan stated post-meeting that the coalition is deliberating on the hike, with the Food and Civil Supplies Department tasked to analyze the proposal. Civil Supplies Minister G R Anil affirmed the normalcy of price revisions and noted the LDF’s reasonable approval of Supplyco’s demand.
A letter from Supplyco to the state government emphasized the agency’s financial strain due to market interventions and urged an immediate retail price adjustment. The state government is expected to allocate Rs 1525 crore to Supplyco, covering subsidies for essential items over 11 years and expenses like free kits.
Defaulting on distributor payments has disrupted Supplyco’s stock reception, causing a drop in daily revenue from Rs 10 crore to Rs 4 crore. The 13 subsidized items include various rice types, sugar, oils, and pulses. Supplyco seeks a proportionate increase in prices for these items and others, emphasizing the financial challenges it faces.
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