The country’s apex fair trade watchdog, Competition Commission of India, CCI has instituted an inquiry into the rising prices of onions. At a meeting held in New Delhi yesterday, the CCI is known to have found a prima facie case against onion trade, thereby hinting at the possibility of the existence of cartels at various levels across the nation that are creating an artificial price increase and shortage of onions. The official sources said, the commission has asked its investigation wing, headed by the Director General, to look into the matter and submit the report. Our correspondent reports, the CCI move has come at a time when the country is facing food inflation, led by high onion prices. This has compelled the central government to ask the state governments to manage supply chains efficiently to rein in high prices of vegetables, including onions. This is the first instance where the commission, which turned fully operational less than two years ago, has stepped in to probe pricing pattern of an agricultural produce for possible cartelisation. The commission has the powers to investigate the current practices within the entire supply chain – both private and public – before coming out with its conclusions.
News On AIR | January 7, 2011 8:53 AM
CCI institutes inquiry into rising onion prices