WHY PRIME MINISTER OF INDIA TELLING THAT PRICES OF COMMODITIES MAY RISE FURTHER DUE TO DROUGHT CONDITIONS?
It may well be true that drought conditions cause prices to rise, partly because it cost the farmers about the same to cultivate and harvest whether they get a good or poor harvest, but it really is not normally so much the farmers that put the prices of produce up to cover cost, normally it is the middlemen and retailers who push up the prices as commodities become more scarce. Unless the profit margin that middlemen and retailers can charge is somehow controlled within reasonable guidelines the customer tend to get ripped off. It would be a very complex issue to implement in a country like India, and it would likely be opposed by everyone who may be profiteering from having unreasonable prices. I think there is a lot to be said for having some control of profiteering, not only in India, but in every country I can think of. Why should so many go without so a few can wallow in excess?
