Hike in fuel price to make food costlier

Consumers who felt relieved with the prices of essential commodities coming down in the recent past are worried again. Due to the hike in the prices of petroleum products, prices of essential commodities are likely to shoot up again.
Traders say the prices of pulses, rice and other essentials are set to increase in the coming weeks. The Greater Hyderabad Dal Millers and Wholesale Traders’ Association estimates that the hike in diesel prices will impose a burden of Rs 200 per quintal on pulses. This will further go up by the time the product reaches consumers through retailers.
“In the recent past, pulses were available at affordable rates due to an increase in production. The prices are likely to go up again because of the burden of transport charges,” said Mr Rajendra Kimtee, the president of the association.
Currently, red gram is available at Rs 58 per kg in the wholesale markets, black gram costs Rs 66 per ky and green gram Rs 79 per kg. Rice prices, which fell by 25 per cent recently, too are set to go up. The state government’s Rs 2 per kg rice scheme is going to be affected as well.
The APSRTC too is going to feel the pinch. The corporation has to bear an additional burden of Rs 160 crore with the hike in diesel prices.
The RTC, which spends Rs 1,500 crore every year for purchase 55 crore litres of diesel, is anticipating a financial crisis in the days to come. However, the officials have decided not to revise the RTC fares and pass on the burden to commuters.
About five lakh lorry owners too are on a warpath. Lorry owners say they are not in a position to bear an additional burden of Rs 2.5 per litre on diesel. Also, the prices of vehicles, including lorries, will go up with the increase in excise duty. Lorry prices are likely to go up by nearly Rs 50,000. Cost of tyres and spare parts will increase as well.