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Law to make essentials available at subsidised rates

india Updated: Sep 30, 2009 19:31 IST

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The UPA government would enact a law to make essential commodities available at a subsidised rate to six crore poor families in the country, Union Finance Minister Pranab Mukherjee said here today.

"Making available 25 kg of rice or wheat at Rs 3 per kg to BPL families is the aim of the law. We have requested the state governments to ensure that the poor people get adequate food and essential commodities at a subsidised rate," Mukherjee told reporters here.

"We are giving subsidy of Rs 131 per LPG cylinder and Rs 17 and Rs 31 per litre of diesel and kerosene oil, respectively," Mukherjee said.

Those who were above the poverty line were compensated by the recent release of additional dearness allowance by the government and the private sector, he said.

Those not covered by the price index-based DA, he said, would be taken care of when the supply of commodities were enhanced to allow market forces to bring down the prices.

Asked about the reason for spurt in prices of essential commodities after the Lok Sabha election that has become an issue in poll-bound Arunachal Pradesh, Mukherjee attributed the rise in prices, particularly of rice and wheat, to increase in minimum support prices (MSP) effected by the UPA government to encourage farmers to produce more.