Home India Ministry of Consumer Affairs, Food and Public Distribution Parliament Question: Rising Prices of Essential Commodities...
Date: 2025-08-20 Category: Not Applicable State: Union Government Country: India

Parliament Question: Rising Prices of Essential Commodities

Issued by Ministry of Consumer Affairs, Food and Public Distribution · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary:** This document addresses rising prices of essential commodities, misleading advertisements, increased consumer complaints in e-commerce, and foodgrain distribution gaps under the Public Distribution System (PDS). It outlines steps taken by the Government of India to strengthen consumer rights, improve grievance redressal, ensure price stability, regulate online platforms, and streamline schemes like One Nation One Ration Card (ONORC) and Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY). The Minister of State Consumer Affairs, Food and Public Distribution provided this information on August 20, 2025, in response to a question in Lok Sabha. **Key Points / Main Content:** * **Price Monitoring and Stability:** * The government monitors daily prices of 38 essential food commodities through 566 price monitoring centers. * Buffer stocks of pulses and onions are maintained for market interventions to moderate prices. * "Bharat Dal" and subsidized atta and rice are distributed to retail consumers. * These measures helped reduce the food inflation rate to 1.76% in July 2025. * **Consumer Protection and Grievance Redressal:** * The Consumer Protection Act, 2019 replaced the 1986 Act to address modern challenges. * E-commerce platforms are regulated by the Consumer Protection (E-Commerce) Rules, 2020. * The Central Consumer Protection Authority (CCPA) issues guidelines to prevent misleading advertisements and unfair practices. * The National Consumer Helpline (NCH) No. 1915 and Integrated Grievance Redressal Mechanism (INGRAM) are operational in 17 languages. * NCH 2.0 includes AI-based Speech Recognition, translation, and an AI-enabled Chatbot. * A three-tier quasi-judicial system (NCDRC, SCDRC, DCDRC) addresses consumer grievances. * e-filing and e-payment options are available. * Court-monitored mediation and product liability provisions are in place. * Online case filing via eDaakhil is available in NCDRC and Consumer Commissions of 35 States/UTs. * **Public Distribution System (PDS) and One Nation One Ration Card (ONORC):** * The central government handles procurement, allocation, and transportation of foodgrains. * State/UT governments handle operational responsibilities, including identifying beneficiaries and distributing foodgrains. * The One Nation One Ration Card (ONORC) scheme is enabled in all 36 States/UTs, covering 100% of PMGKAY beneficiaries. * Beneficiaries can lift foodgrains from any Fair Price Shop (FPS) using biometric authentication. **Impact Analysis** * **Consumers:** * *Impact:* Enhanced protection against unfair trade practices, improved grievance redressal mechanisms, access to affordable essential commodities, and nationwide portability of ration cards. * *Action Required:* Utilize available grievance redressal mechanisms (NCH, eDaakhil), be aware of consumer rights under the Consumer Protection Act, and leverage the ONORC scheme for foodgrain access. * **E-commerce Platforms:** * *Impact:* Subject to stricter regulations to prevent unfair trade practices and misleading advertisements. * *Action Required:* Comply with the Consumer Protection (E-Commerce) Rules, 2020, and ensure fair and transparent practices. * **State/UT Governments:** * *Impact:* Responsible for the operational aspects of the PDS, including beneficiary identification and foodgrain distribution. * *Action Required:* Ensure effective implementation of the PDS and ONORC schemes, Aadhaar seeding of ration cards, and supervision of Fair Price Shops. * **Food Corporation of India (FCI):** * *Impact:* Responsible for the procurement, allocation, and transportation of foodgrains to designated depots. * *Action Required:* Ensure efficient procurement, storage, and transportation of foodgrains for the PDS.

Key Entities Referenced

Consumer Protection Act, 2019: A law enacted to address challenges arising from globalization, new technologies, and ecommerce, replacing the Consumer Protection Act, 1986. Central Consumer Protection Authority CCPA: An authority that has issued guidelines to prevent misleading advertisements, dark patterns in ecommerce sector and unfair practices in the coaching sector. National Consumer Helpline NCH: A toll-free helpline (No.1915) and Integrated Grievance Redressal Mechanism (INGRAM) operational in 17 languages to facilitate consumer grievance redressal. National Consumer Disputes Redressal Commissions NCDRC: A national level quasijudicial agency that provides redressal of consumer grievances. State Consumer Disputes Redressal Commission SCDRC: A state level quasijudicial agency that provides redressal of consumer grievances. District Consumer Disputes Redressal Commission DCDRC: A district level quasijudicial agency that provides redressal of consumer grievances. One Nation One Ration Card ONORC: A feature that enables nationwide portability of ration cards, allowing beneficiaries to lift their entitled foodgrains from any Fair Price Shop (FPS) of their choice across the country. Pradhan Mantri Garib Kalyan Anna Yojana PMGKAY: A scheme under which beneficiaries are empowered to lift their entitled foodgrains from any Fair Price Shop FPS of their choice, anywhere in the country, by using their existing ration card
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Government of India Ministry of Consumer Affairs, Food and Public Distribution Department of Consumer Affairs LOK SABHA UNSTARRED QUESTION NO.4526 TO BE ANSWERED ON 20.08.2025 RISING PRICES OF ESSENTIAL COMMODITIES 4526. SHRI ZIA UR REHMAN: Will the Minister of CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION be pleased to state: (a) whether the Government is aware of key issues such as rising prices of essential commodities, misleading advertisements, increasing consumer complaints in e-commerce and foodgrain distribution gaps under Public Distribution System (PDS); (b) if so, the details of the steps being taken by the Government to strengthen consumer rights, improve grievance redressal mechanisms, ensure price stability, regulate online platforms and streamline schemes like One Nation One Ration Card and Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY); and (c) if not, the reasons therefor? ANSWER THE MINISTER OF STATE CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION (SHRI B.L. VERMA) (a) to (c) : Government monitors daily prices of 38 essential food commodities submitted by the 566 price monitoring centres across the country and keeps a close watch on the price trends for taking necessary measures to stabilise prices. As per the data, prices of essential food commodities are stable and under control. Government has taken several steps to strengthen consumer protection and empowerment, ensure stability in prices and improve Public Distribution System (PDS). The Consumer Protection Act, 1986 has been replaced by the Consumer Protection Act, 2019 to address challenges arising from globalization, new technologies, and e-commerce. The Consumer Protection (E-Commerce) Rules, 2020 regulates e-commerce platforms and prohibit unfair trade practices. The Central Consumer Protection Authority (CCPA) has issued guidelines to prevent misleading advertisements, dark patterns in e-commerce sector and unfair practices in the coaching sector. Toll-free National Consumer Helpline (NCH) No.1915 and the Integrated Grievance Redressal Mechanism (INGRAM) are operational in 17 languages to facilitate consumer grievance redressal. Under the “Convergence” programme, 1110 companies have partnered with NCH for direct resolution of consumer complaints. In a significant move to further enhance grievance redressal, NCH has introduced AI-based Speech Recognition, a translation system, and AI enabled Chatbot as part of NCH 2.0 initiative. These technology upgradations ensure that consumers from diverse linguistic backgrounds have equal access to the grievance redressal system.The Consumer Protection Act, 2019 provides for redressal of the grievances of consumer through specialized three-tier quasi-judicial agencies, now commonly known as ‘National Consumer Disputes Redressal Commissions (NCDRC)’ at National level, ‘State Consumer Disputes Redressal Commission (SCDRC)’ at State level, and ‘District Consumer Disputes Redressal Commission(DCDRC)’ at District level. The Act also provides for, inter-alia, simplification of the adjudication process in the Consumer Commissions; filing of a complaint by a consumer in the Consumer Commission having jurisdiction with respect to his place of work/residence irrespective of place of transaction and place of business or residence of the opposite parties, e-filing and e-payment, video conferencing for hearing, deemed admissibility of complaints if admissibility is not decided within 21 days of filing; court monitored mediation to facilitate early disposal of cases; provision of product liability. Provision for filing cases online through e-Daakhil has been introduced in NCDRC and Consumer Commissions of 35 States/UTs at the district and state level for speedy and hassle-free resolution of cases. In order to tackle the volatility in prices, Government maintains buffer stocks of pulses and onion for market interventions through calibrated and targeted release to moderate the prices in the market. Part of the stock of pulses from the buffer were converted to dals for retail sale to the consumers at affordable prices under the Bharat Dal brand during 2023-24 and 2024-25. Similarly, atta and rice are distributed to retail consumers under Bharat brand at subsidized prices. Onion from the buffer had been released during September to December, 2024 in a calibrated and targeted manner to moderate prices in high price consuming centres at wholesale markets and through retail outlets. Onions were distributed among retail consumers at Rs.35 per kg through stationary retail outlets and mobile vans in major consumption centres. These measures have helped in making essential food commodities available to the general consumers at affordable prices and helped in bring down the year-on-year food inflation rate to (-) 1.76% in July, 2025, lowest after January, 2019. The Public Distribution System is operated under the joint responsibility of the Central and the State/UT Governments. The Central Government is responsible for the procurement, allocation, and transportation of foodgrains up to the designated depots of the Food Corporation of India (FCI). As far as the operational responsibility is concerned, which includes allocation within the State/UT, identification of eligible families, issue of Ration Cards, Aadhaar Seeding in Ration Cards, distribution of foodgrains to eligible beneficiaries, and supervision of the functioning of Fair Price Shops, etc., rests with the concerned State/UT Governments. There is no gap noticed in PDS. The nationwide portability of ration cards is popularly known as the One Nation One Ration Card (ONORC) feature. Through this technology-driven reform, all PMGKAY beneficiaries are empowered to lift their entitled foodgrains from any Fair Price Shop (FPS) of their choice, anywhere in the country, by using their existing ration card with biometric authentication on an electronic Point of Sale (ePoS) device. The family back home can also lift the part of the PMGKAY foodgrains in the home State/UT on the same ration card. Currently, the ONORC feature is enabled in all 36 States/UTs, across the country, covering 100% PMGKAY beneficiaries. *****

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