Supply of vegetables

We are aware that our Government’s intention is to reduce the Cost of Living and also make essential goods available to the public at large at affordable prices. All must co-operate to make this plan successful for the benefit of the country.

Unfortunately, some traders are engaged in sabotaging this for their own benefit. At present vegetables from Jaffna are reaching Colombo through the A9 Road at cheap prices. Unfortunately at Dambulla (which controls nearly 60 percent of vegetable market) these vegetables are purchased and sent to Pettah at exorbitant prices.

They are making super black profits. Eg. Green chillies which are sold at the rate of Rs. 30 are sold for nearly Rs. 300. By adopting this method the following disadvantages occur:

(a) Consumers in Colombo do not purchase vegetables at low prices. Vegetable producers in other areas especially in Dambulla do not fetch a reasonable price for their products and they throw them into the dustbin. This is a serious matter. In India several farmers committed suicide, as there was no reasonable price, for their paddy.

(b) The super black market profit results in accumulating black money, as these traders do not pay taxes on the hidden profit. It is true that the producers cannot directly reach the consumers. There are distributors, wholesalers and retailers inbetween. In fairness a producer should earn 20 percent and others earn between 10-12 percent. In this case the distributors at Dambulla earn more than 210 percent.

The same thing will happen to seafoods coming from Jaffna and vegetables from Nuwara Eliya. Early corrective action should be taken. It may be true that the Government will not interfere in free market operations i.e. demand and supply meet and decide the price. However, it should be noted that this is tantamount to the monopoly which should be broken for the benefit of the public at large.

I suggest that the Government permits the Consumer Protection Authority to take necessary measures as they have done for essential goods (milk powder), so that producers, consumers and all others are benefitted.

S. R. BALACHANDRAN - Council Member - National Chamber of Commerce of Sri Lanka