Govt imposes stock limits on onion traders to check prices
New Delhi: To boost domestic supply and provide relief to consumers from rising onion prices, the Centre on Friday imposed stock limits on both retailers and wholesales with immediate effect till December 31.
Now, retailers can only stock onion up to 2 tonnes, whereas wholesale traders are allowed to keep up to 25 tonnes. This will check hoarding and blackmarketing, it said.
Onion prices have shot up sharply to over Rs 75 per kg in the past few weeks in the wake of damage to the standing kharif crop in producing areas due to heavy rainfall as well as hoarding.
Addressing media, Consumer Affairs Secretary Leena Nandan said, "This is a decisive step. We have imposed stock limits on onion traders with an immediate effect till December 31 after concerns that traders were releasing their stored stocks slowly, creating artificial price rise situation."
She said the government had to invoke the recently passed Essential Commodities (Amendment) Act, 2020, which provides regulation of agri-commodities "only" in the times of extraordinary price rise situation.
"Under this law, normally, we would not be regulating agri-food stuff like cereals and onion. But, in times of extraordinary price rise, we can regulate if the retail price breaches the trigger levels specified in the law," she said.
In case of onion, the average all-India retail price of onion of Rs 55.60 per kg that prevailed on October 21 breached the trigger level as per the formula specified under the EC Amendment Act, she said.
The all-India average retail price of Rs 55.60 per kg was higher by 22.12 per cent compared with last year's rates of Rs 45.33 per kg and by 114.96 per cent as against average rate that prevailed in past five years. So, the retail price had actually more than doubled and, therefore, decided to impose the stock limits on the commodity, she added.
Later, Consumer Affairs Minister Piyush Goyal tweeted that the Modi government has taken third step to curb hoarding and check prices. Stock limits have been imposed on retailers and wholesale traders of onion.
The government said action under the Prevention of Blackmarketing and Maintenance of Supplies of Essential Commodities Act, 1980, would be taken to prevent any hoarding, black marketing of onions by unscrupulous elements.
Highlighting other measures taken to cool down the spiralling trend in onion prices, the secretary said the government has decided to augment domestic supplies through imports for which state-owned MMTC would soon float a tender for red onions to meet the demand supply gap.
Recently, the government relaxed fumigation and phytosanitary norms for import of onion and activated Indian consulates to facilitate trade, she said.
The secretary said the government had taken a pre-emptive step by announcing a ban on onion export on September 14 itself so as to ensure availability to domestic consumers at reasonable rates, before the expected arrival of kharif onion from next month.
"Thus, the retail price rise was moderated to some extent but recent reports of heavy rainfall in the onion-growing districts of Maharashtra, Karnataka, Andhra Pradesh and Madhya Pradesh have created concerns about damage to kharif crop," she said.
She also said the developments on the weather front have contributed to the sharp increase in onion prices.
However, to tide over the present situation, the government has stepped up offloading of onion from its buffer stock of 1 lakh tonne created in 2019-20, which is being carried out swiftly but in a calibrated manner from the second half of September, she said.
The secretary further said onion from the government's buffer stock is being sold in major mandis as well as retail suppliers such as Safal, Kendriya Bhandar, NCCF, and NAFED outlets in major cities and also via states.
Currently, Assam and Kerala governments are being supplied from the retail disposal mechanism. Andhra Pradesh, Telangana and Lakshadweep have also placed their requisition for onions, which are being dispatched, she said.
Further, onions are also being disposed of through open market sales and this will be stepped up further to bring down the price rise.
The government said kharif crop is likely to hit mandis from next month. The estimated arrival of 37 lakh tonne of kharif onion crop will improve availability, she added.
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London, Nov 22: A bomb disposal squad deployed as a “precaution” to the South Terminal of Gatwick Airport concluded an investigation into a "security incident" on Friday after making a “suspect package” safe.
The South Terminal of Gatwick Airport, the UK's second busiest airport after Heathrow, which was briefly shut owing to the incident reopened following the incident.
The Gatwick is around 45 km south of London.
Two people detained during the enquiries have since been allowed to continue their journey as the airport was opened.
“Police have concluded their investigation into a report of a suspect package at Gatwick Airport. Officers from the EOD (Explosive Ordnance Disposal) team made the package safe, and the airport has been handed back to its operator,” Sussex Police said in an updated statement.
“Two people detained while enquiries were ongoing have subsequently been allowed to continue their journeys. There will remain an increased police presence in the area to assist with passengers accessing the South Terminal for onward travel,” the statement added.
Earlier on Friday, the incident caused severe disruption at the busy airport’s South Terminal, while the North Terminal of Gatwick Airport remained unaffected.
“Police were called to the South Terminal at Gatwick Airport at 8.20 am on Friday (November 22) following the discovery of a suspected prohibited item in luggage,” a Sussex Police statement said.
“To ensure the safety of the public, staff and other airport users, a security cordon has been put in place whilst the matter is dealt with. As a precaution, an EOD (Explosive Ordnance Disposal) team is being deployed to the airport. This is causing significant disruption and some roads around the South Terminal have been closed. We’d advise the public to avoid the area where possible,” it said.
Footage on social media taken outside the airport showed crowds of frustrated travellers being moved away from the terminal building.
Gatwick said it was working hard to resolve the issue.
“A large part of the South Terminal has been evacuated as a precaution while we continue to investigate a security incident," the airport said in a social media post.
“Passengers will not be able to enter the South Terminal while this is ongoing. The safety and security of our passengers and staff remain our top priority. We are working hard to resolve the issue as quickly as possible.”
Train and bus services that serve the airport were also impacted while the police carried out their inquiries.
In an unrelated incident in south London on Friday morning, the US Embassy area in Nine Elms by the River Thames was the scene of a controlled explosion by Scotland Yard dealing with what they believe may have been a “hoax device”.
“We can confirm the 'loud bang' reported in the area a short time ago was a controlled explosion carried out by officers,” the Metropolitan Police said in a post on X.
“Initial indications are that the item was a hoax device. An investigation will now follow. Some cordons will remain in place for the time being but the majority of the police response will now be stood down,” it added.
