Rice crisis eases as raids begin to tell

Apr 22, 2008 Source: Daily News - By Irangika RANGE

COLOMBO: Traders and shopkeepers including supermarkets yesterday sold rice confirming to the Government imposed price ceiling. An officer from one of the Consumer Affairs Authority (CAA) raiding teams told the Daily News that only two cases were detected where regulations were flouted. The detections were made in Nugegoda and Athurugiriya yesterday. Legal action is to follow against the errant traders. “In consequence to the Government’s directive on taking tough action against rice hoarders from Monday, two teams comprising 20 CAA officials conducted a number of raids yesterday in Rajagiriya, Nugegoda, Maharagama, Malabe, Kaduwela and Athurugiriya.” Apart from the two cases, almost all traders especially those in Rajagiriya sold rice at the stipulated price. He said as a whole traders complied with the Government’s maximum sale price imposed on several varieties of rice. Islandwide raids were also carried out by the CAA regional offices yesterday to nab errant traders. A number of raids were conducted in Dehiwala and Colombo on Sunday and several hoarders rounded up. He said CAA received over 500 complaints on rice hoarding and refusal to sell rice while stocks were available. “If any trader refuses to sell rice under the new regulations imposed by the Government from Wednesday midnight, they are liable for prosecution under Emergency Regulations,” he said. An Official from the Trade, Marketing Development, Co-operative and Consumer Services Ministry said that mill owners and trade organisations islandwide have pledged to provide sufficient rice stocks to consumers under the Government’s stipulated maximum prices as a relief measure. This decision was made at the discussion held yesterday between Minister Bandula Gunawardhana and Mill Owners and Trade Organisations countrywide where it was disclosed there would be no shortage in the market. A large number of mill owners countrywide have stored sufficient paddy in their mills and agreed to provide rice stocks to avert any shortage. He said that 50,000 metric tons of rice were available in Vavuniya with the reaping of the harvest there. He said that the artificial rice shortage created by blackmarketeers was expected to be completely arrested with the release of sufficient rice stocks from millers and the arrival of Rangoon kekulu from Myanmar. The CAA is further engaged in conducting raids at district and provincial level to nab traders providing false information, failing to display the price tags, hoarding with a view to increase prices and refusing to sell rice while stocks are available. These are punishable offences in terms of the Consumer Affairs Authority Act. Source of the article