State government finalises rates of Supplyco subsidised goods
The Hindu
State government finalises rates of Supplyco subsidised goods
The government on Friday issued orders revising the prices of 13 essential commodities supplied through Supplyco outlets in the State.
A few days ago, the Cabinet had green-lit a proposal submitted by the Food and Civil Supplies department to revise the pricing mechanism of items sold through Supplyco. As a result, the subsidy provided for commodities was brought down to 35% of the open market rates.
In the absence of a mechanism that constantly reviewed the prices, some items were sold with subsidies as high as 70%. This has led to a huge financial liability for the State-run agency that has been finding it increasingly difficult to pay its suppliers and replenish its stock.
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