Download compendium on price rise - Press Information Bureau

COMPENDIUM ON PRICE RISE
PRESS INFORMATION BUREAU
GOVERNMENT OF INDIA
…..
PIB issued 7 press releases, 10 press briefings and 3 press conferences to
publicise initiatives of the Ministry of Finance as follows:•
To maximize procurement of wheat and paddy, procurement prices were substantially
enhanced. MSP for grade A paddy was raised from Rs. 620 per quintal for 2006-07
crop to Rs. 745 per quintal for 2007-08 and Rs. 850 per quintal (ad hoc) for 2008-09.
In case of wheat, MSP was raised from Rs. 700 per quintal in 2006-07 to Rs. 850 in
2007-08 and further to Rs. 1000 per quintal for 2008-09 (Marketing season).
•
Export of wheat, non-basmati rice, pulses and edible oils was banned.
•
In case of petroleum products, while there has not been any change in the prices of
kerosene and LPG, pass through of international price increase of crude oil to
domestic consumers of petrol and diesel was minimal due to a three-way burden
sharing by Government, Oil companies and Consumers.
•
Department of Food and Public D istribution is considering to distribute edible oils at
a subsidised through the States, scheme is being launched from July 14, 2008.
•
The Customs duty on edible oils (crude) was reduced to zero. Refined oils of these
varieties attract a duty of 7.5 per cent.
•
Basic customs duty reduced from 5% to Nil on pig iron and mild steel products viz.
sponge iron, granules and powders; ingots, billets, semi finished products, hot rolled
coils, cold rolled coils, coated coils/sheets, bars and rods, angle shapes and sections
and wires.
•
Export duty imposed on steel items and rice.
•
CRR was raised 11 times since December 2006 to reach 8.25 per cent as on May 24,
2008. It is proposed to be increased by 50 basis points to reach 8.75 per cent in two
tranches, effective from July 5, 2008 (8.50 per cent) and July 19, 2008 (8.75 per cent)
•
Repo rate was raised to 7.75 per cent effective March 31, 2007. It was increased by
25 basis points on June 11, 2008 and further by 50 basis points on June 24, 2008 to
reach 8.50 per cent.
Steps taken by PIB to sensitize people on price rise.
•
Issed 3 handouts in June-July) on retain prices of food commodities based on data
suppled by the Department of Consumer Affairs, to inform the press about prevailing
in different cities in the country and to subtly highlight the fact that prices have risen
as well decreased during the week.
•
Press is being briefed regularly about the very good progress of kharif sowing.
•
Data on procurement of wheat and rice is being given to the press regularly,
highlighting the record procurement of wheat this year.
•
A Media Plan has been chalked out by the Department of Consumer Affairs, which
includes regular press briefings and discussion on the electronic media by Consumer
Affairs Secretary.
Efforts to contain price rise in Steel and Fertiliser
•
PIB has been playing an extremely supportive role to publicise the efforts of the
government to contain price rise
•
Organised briefings by the Secretary, Department of Fertilisers, on the supply position
in states like Karnataka, Kerala, Tamil Nadu, Andhra Pradesh, Maharashtra and
Gujarat.
•
On the price rise of steel, regular briefings by the Minister for Steel and Secretary
Steel were organized particularly after meetings with primary steel producers as well
as secondary steel producers
•
We have also organized interviews of Secretary Ministry of Steel with news paper
correspondents to publicise the efforts of the government.
PIB’s efforts on price rise -Petroleum
•
PIB highlighted Government’s efforts to contain domestic price increase of
petroleum. Ministry arranged special interviews to carry on the view points and
background briefing by the Minister for Petroleum and other senior officials of the
Ministry were also done. Petroleum Minister was advised to write a letter to the Chief
Ministers for reducing sales tax was also highlighted in order to bring down the
impact on consumers. Duty cuts effected by the Government was also highlighted
promptly. No increase in the price of Kerosene (common man’s fuel) was also
highlighted and widely covered.