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Artificial food shortage sorted: ESC

11 Sep 2021

By Maheesha Mudugamuwa The Essential Services Commission (ESC) yesterday (11) said their efforts to bring down the market prices of essentials such as rice and sugar were successful, as they were able to meet the artificially created shortage in the local market during the last week. Accordingly, the ESC had purchased 873,750 kg of rice from medium and large-scale mill owners through raids conducted from 1 September, and during the same period, the Consumer Affairs Authority (CAA) had purchased 6,727 MT of paddy, which was handed over to the Paddy Marketing Board (PMB). The ESC had also purchased 78,459 MT of sugar hoarded in registered and unregistered stores countrywide and had released 10,969 MT to the market via Lanka Sathosa. Speaking to The Sunday Morning, Commissioner General of Essential Services (CGES) Maj. Gen. D.S.P. Niunhella said the prices of both rice and sugar had reduced drastically compared to the prices in the market two weeks ago. The artificially created shortage had now been sorted, he said. “I have handed over the distribution aspect to the Ministry of Trade, and they are currently distributing sugar and rice through their outlets gradually, depending on the market requirement,” Maj. Gen. Niunhella added. However, the ESC noted that the raids would continue and be expanded to cover big and small businesses. The raids were launched following President Gotabaya Rajapaksa declaring emergency regulations on essential food supply, formulated as per the powers vested through Section 5 of the Public Security Ordinance. The new regulations came into effect as of midnight on 30 August. Two gazette notifications were issued last week declaring the maximum retail prices (MRP) for sugar and rice with effect from 2 September by order of CAA Chairman Maj. Gen. (Retd.) Shantha Dissanayake, under Section 20(5) of the CAA Act No. 9 of 2003. The MRP of white sugar was listed as Rs. 122 per kg (unpacketed) and Rs. 125 per kg (packeted), while the MRP of brown or red sugar was listed as Rs. 125 per kg (unpacketed) and Rs. 128 per kg (packeted). However, Opposition politicians who voiced concerns over the use of emergency regulations in this context blamed the Government for enacting misguided policies and claimed that the purchase of hoarded sugar will cost the taxpayer while lining the pockets of big businesses closely linked to some members of the Government. “We have protested in Parliament and will continue to voice our displeasure at such acts by the Government,” Samagi Jana Balawegaya MP Ranjith Madduma Bandara told The Sunday Morning.


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