Increase in fuel prices: Cost of essential commodities go north

kolkata: As fuel prices touch record high, spiraling costs of commodities have set the market on fire. The hike in fuel prices has led to an increase in the cost of transportation, subsequently impacting the prices of vegetables and other day-to-day commodities.

Between April 2 and 5, petrol prices in Mumbai, Chennai and Kolkata have gone up by about 2 per litre. The petrol price in Kolkata was hiked by 80 paise on Tuesday, making it the 13th increase in the past 15 days. The cost of petrol in Kolkata stood at Rs 114.28 per litre on Tuesday. Similarly, the cost of diesel also increased to Rs 99.02 per litre on Tuesday. The total increase in rates in the last two weeks is Rs 9.20 per litre, according to a price notification of state fuel retailers. Diesel price crossed Rs 100 mark in Cooch Behar on Tuesday. This is the 13th increase in prices since the ending of a four-and-half-month long hiatus in rate revision on March 22.

In Cooch Behar, the Diesel was sold at Rs 100. 02 per litre (up by 0.95 paise) and diesel at Petrol- Rs 115.36 per litre (up by Re 1) on Tuesday.

According to sources, petrol price is set to be hiked to Rs 115.12 and diesel to Rs 99.83 on Wednesday. Adding to the woes, the hike in prices of LPG and edible oil is also burning holes in the pockets of common people. The cost of LPG cylinders stood at Rs 976 for 14.2kg.

Consequently, households in the city have been forced to cut down their expenses on food budget. In many households, the homemakers have altered the food menus to survive the inflation. Essential commodities are becoming dearer by the day in the metropolis. Prices of vegetables, foodgrains and cooking oil have been on the upward curve since the last one week in most Kolkata markets, traders said.Vegetables, which should ideally be priced at Rs 25-30 a kg, are selling at Rs 40-50 per kg... This is due to the non-stop rise in fuel prices, said Rabindranath Kole, a member of the West Bengal government's task force on agriculture. Gopal Pal, a potato wholesaler in the city's Burrabazar area, said prices have risen by at least Rs 50 per bag in the last two-three days.

A bag of S1' potatoes is currently selling at Rs 840, the 'Jyoti' variety is priced at Rs 950 and' Chandramukhi' at Rs 1,150, Pal said. Price of paddy has shot up by Rs 7-10 per kg at the retail level depending on the variety, a rice retailer said.

Cooking oil has also bore the brunt of the steep rise in fuel prices, with a litre of mustard oil costing Rs 195-210 from Rs 165-180 a few weeks back, traders said.

On Monday, several private bus and cab operators said they were contemplating taking vehicles off the roads if the state and central governments did not provide some succour in the form of an allowance or make way for fare hikes to support the ailing transport sector.

As fuel does not come under GST, central excise and VAT get levied on petrol and diesel. Bengal imposes 25 per cent VAT on petrol and 17 per cent on diesel.The Central government levies Rs 27.90 excise on every litre of petrol and Rs 21.80 on diesel.