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The prices of rice varieties, the staple diet for most of the families, have skyrocketed with retailers claiming that the wholesalers are hoarding it and seek government intervention to regulate the foodgrains trade.
Prices of boiled and raw rice have gone through the roof. They have witnessed a steep increase this month with a 25-kg bag of the moderately priced variety of Ponni crossing '1,000.

Homemakers are concerned about the increased prices of staple commodities, as they are forced to shell out more. Retail traders attribute it to illegal hoarding by wholesalers and seek government intervention to streamline the trade.

Though the prices of rice has been going north since the last few months, it has gone up significantly this month, by Rs 4- Rs 6 a kg across all varieties, say retailers.

"For instance, the fast selling boiled Ponni rice, which sold for Rs 900-Rs 950 a bag, is now being sold for Rs 1,100- Rs 1,150. White Ponni's price has touched Rs 1,250 from Rs 1,050," informed Mr S.P. Soruban, president, TN Maligai Vyab­arigal Sangam.

Apart from the decrease in supply after the poor monsoon and power cut in the southern districts, arrival of lorries from other states has also dwindled from 500 to 10. "The demand is also because hoarders are taking advantage of the situation. The government has to regularise the rice trade," said Mr Soruban.

"Low-priced rice has also seen a huge increase in recent times, making it tough for the underprivileged. We suspect hoarding by wholesalers," said a trader from K.K. Nagar.

Traders hope that the rice prices would fall slightly while new arrivals start to hit the market in the coming months. But till the new arrivals hit the wholesale market, the common man will be hard pressed to balance his household budget as he has to shell out more for the staple diet which is the major food intake for a typical family in Tamil Nadu.

Food demand to continue for 2 yrs

With the state facing drought and agriculture productivity hitting an all-time low, the demand for pulses and foodgrains will continue for the next two years. Except sugarcane and garlic, the prices of all farm products, including cattle and livestock feed, will surge from 10-20 per cent, say farmers.

According to Mr Arupathy Kalyanam, general secretary of the delta districts farmers federation, the monsoon failure has adversely affected paddy and other crops in the region. He opined that it would take at least another three years for farmers to emerge from the crisis.

The existing Central and state government policies have become anti-farmer and there is a need for immediate intervention. Even when there are adequate rains, dealers stock rice to make huge margins.

The present scenario will only help the middlemen, resulting in price rise, he said.

Even though paddy crops appeared green in areas where pumpsets are used, the yield would be just one-third.

A solution to the existing power crisis and comprehensive crop insurance may bring in some respite, he suggested.

The 54-year-old farmer also added that besides affecting paddy, rains and climatic changes have caused considerable damage to sugarcane, banana, groundnut and other horticulture crops across the state.