Government permitted Oil Company to make profit and allow Indians to die with High Inflation.
On Thursday, Indians government allowed its oil marketing companies to raise petrol price by Rs 1.80 per litre, excluding taxes which is 5th in a year, people of India are crying with High inflation while government of India instead of thinking welfare of the common men- are helping oil marketing company to raise price on the fuel to built up profit, adding growing burden of the inflation on, and to hit common man.
Despite threat to withdraw from UPA part II by Trinamol Congress , an angry West Bengal chief minister Mamata Banerjee as she reminded Congress that UPA government's survival depended on the support of Trinamool and other allies and her MPs had "unanimously decided to withdraw from the ruling coalition". UPA might be considering shedding of crocodile tears by Ms. Banerjee , similar tears were also shed by Farook Abdulla on rise in price of oils.
Prime Minister Manmohan Singh seemed unmoved by the rising clamour against the fuel hike. Speaking to reporters on the sidelines of the G-20 deliberations in Cannes, he rightly said, "We must move in the direction of decontrolling more prices. I have no hesitation in saying markets must find their own levels."It is not the duty of government to sell the products like food grains and artificailly control the price of oils, gases et by providing subsidy.
We should not forget that subsidy to oil prices ultimately cut down the expenditure for welfare of Poor and downtraden resulting lower demands of products which again lower the GDP perentage
If government does not desist from- Government push inflation-the country men have to suffer more. A few days back they have raised the MSP of grain and pulsesby 35% - than how the prices of goods & eatable items would come down.
The Minimum Support Price (MSP) for wheat has been fixed at Rs 1,285 a quintal, Rs 165 more than what was initially fixed last year (Rs 1,120). The government had then relented to sustained pressure from the farm lobby and declared an additional bonus of Rs 50 per quintal, making the MSP for wheat Rs 1,170.
The cause of high prices is that government has been regularly raising the prices of grain, pulses and oils which have made the common men life very miserable forgetting that besides farmers there are landless & factory workers too whose salary are not increased with the rising of MSP of wheat, grains and pulses. Basically, government on one hand is raising income of the peasantry while on another hand they are instrumental in killing the purchasing power of middle class which can further downgrade GDP of the India.
The question arises whether we are going to the style of USA & Eurozone from where we shall have to face tough protest like @occupywallstreet
Despite we have world renowned economist Prime Minister but he has failed in controlling inflation and depreciation of rupee -If 1 $ is 49 today compared what it was ie; 1 $= 43 Rs, it has depreciated against the US dollar making NRIs gain from it and also helping exports Eg :IT companies. NRI's can send more money into the country(India), make purchases and benefit from it, as they have to shell out lesser dollars for their purchases
On other hand depreciation of rupee has made the imports of goods and oil costlier aleast 18% since January 2011 which has again pushed the input cost of industrial products resulting government push inflation because government and RBI fails to control modesty(Depreciation) of rupee against dollar.
Reserve Bank of India is constantly raising the rate of interest which is raising cost of industries' input resulting industries are raising price--again it is government push inflation because RBI could have cut the liquidity of money in the market to tight money supply to control rise in price instead of raising the rate of interest which adversely affecting the MRP prices of every products.
Governments around the world have been taking measures to tackle soaring grain prices and head off social unrest, with north African countries USA, Eurozone, Libya, Algeria and Morocco cutting taxes on foods or regulating prices and stepping up supplies. Instead of cooling down high prices, the government submission to the opposition parties that the oil companies have raised the price not government has sparked many protest from each corner of the country and is ridiculous.
BJP spokesperson Rajiv Pratap Rudy described it as a "midnight deceit" and "unleashing terror of a different kind on the common man". "While the Congress completely remains insensitive the prime minister and the government have once again cheated the people."
CPM's Nilotpal Basu said the move "shows that the government is just not interested in aam admi. It is bereft of any sensitivity." He said he was appalled that government spokesperson was justifying the hike arguing that it is needed for growth.
CPI national secretary D Raja said the increase came at a wrong time when "when inflation is in double digits and price of food prices is at all-time high. It is yet another instance of UPA's insensitivity. We demand immediate roll back".
The Company executives, however, argued that they were losing about Rs 1.52 on a litre of petrol still due to fall of rupee despite fall of crude in international market.
If they are still losers -My submission is that this is the high time that government must think to stop all subsidy on oil & gas, and to accomodate the middle class -they must lower the Income tax slab from 10% to 8% and the poor must be given the one time help of Rs.750/- per month along with DA -as given to government employees- to all BPL card holder to fight with inflation as the government can not discourage the Auto companies to expand further lest people themselves switch over to public transport systems.
The whole India knows except the government of India that the subsidy which is given on kerosine oil actually go in hand of corrupt official & the carriers of Kerosine oil along with depot holder and poor is hardly benefited resulting creation of black money to the tune of approximately at least of rupees 10000 crore which again become tool of inflation in the hand of corrupt people. Under current Corruption has been running parallel economy , people know it but government does not stop & eradicate it.
So what RBI think and takes steps to control prices-parallel economy being run by corruption money are nullified but government don,t take steps to control generation of black money.
In fact, if government must introduce air-conditioned public transport systems all over the India, the masses can shift to that system gladly which can not only save more money in their hand but also save government foreign exchange at least not less than 25% a year due to fall of oil bill in a year.
On Thursday, Indians government allowed its oil marketing companies to raise petrol price by Rs 1.80 per litre, excluding taxes which is 5th in a year, people of India are crying with High inflation while government of India instead of thinking welfare of the common men- are helping oil marketing company to raise price on the fuel to built up profit, adding growing burden of the inflation on, and to hit common man.
Despite threat to withdraw from UPA part II by Trinamol Congress , an angry West Bengal chief minister Mamata Banerjee as she reminded Congress that UPA government's survival depended on the support of Trinamool and other allies and her MPs had "unanimously decided to withdraw from the ruling coalition". UPA might be considering shedding of crocodile tears by Ms. Banerjee , similar tears were also shed by Farook Abdulla on rise in price of oils.
Prime Minister Manmohan Singh seemed unmoved by the rising clamour against the fuel hike. Speaking to reporters on the sidelines of the G-20 deliberations in Cannes, he rightly said, "We must move in the direction of decontrolling more prices. I have no hesitation in saying markets must find their own levels."It is not the duty of government to sell the products like food grains and artificailly control the price of oils, gases et by providing subsidy.
We should not forget that subsidy to oil prices ultimately cut down the expenditure for welfare of Poor and downtraden resulting lower demands of products which again lower the GDP perentage
If government does not desist from- Government push inflation-the country men have to suffer more. A few days back they have raised the MSP of grain and pulsesby 35% - than how the prices of goods & eatable items would come down.
The Minimum Support Price (MSP) for wheat has been fixed at Rs 1,285 a quintal, Rs 165 more than what was initially fixed last year (Rs 1,120). The government had then relented to sustained pressure from the farm lobby and declared an additional bonus of Rs 50 per quintal, making the MSP for wheat Rs 1,170.
The cause of high prices is that government has been regularly raising the prices of grain, pulses and oils which have made the common men life very miserable forgetting that besides farmers there are landless & factory workers too whose salary are not increased with the rising of MSP of wheat, grains and pulses. Basically, government on one hand is raising income of the peasantry while on another hand they are instrumental in killing the purchasing power of middle class which can further downgrade GDP of the India.
The question arises whether we are going to the style of USA & Eurozone from where we shall have to face tough protest like @occupywallstreet
Despite we have world renowned economist Prime Minister but he has failed in controlling inflation and depreciation of rupee -If 1 $ is 49 today compared what it was ie; 1 $= 43 Rs, it has depreciated against the US dollar making NRIs gain from it and also helping exports Eg :IT companies. NRI's can send more money into the country(India), make purchases and benefit from it, as they have to shell out lesser dollars for their purchases
On other hand depreciation of rupee has made the imports of goods and oil costlier aleast 18% since January 2011 which has again pushed the input cost of industrial products resulting government push inflation because government and RBI fails to control modesty(Depreciation) of rupee against dollar.
Reserve Bank of India is constantly raising the rate of interest which is raising cost of industries' input resulting industries are raising price--again it is government push inflation because RBI could have cut the liquidity of money in the market to tight money supply to control rise in price instead of raising the rate of interest which adversely affecting the MRP prices of every products.
Governments around the world have been taking measures to tackle soaring grain prices and head off social unrest, with north African countries USA, Eurozone, Libya, Algeria and Morocco cutting taxes on foods or regulating prices and stepping up supplies. Instead of cooling down high prices, the government submission to the opposition parties that the oil companies have raised the price not government has sparked many protest from each corner of the country and is ridiculous.
BJP spokesperson Rajiv Pratap Rudy described it as a "midnight deceit" and "unleashing terror of a different kind on the common man". "While the Congress completely remains insensitive the prime minister and the government have once again cheated the people."
CPM's Nilotpal Basu said the move "shows that the government is just not interested in aam admi. It is bereft of any sensitivity." He said he was appalled that government spokesperson was justifying the hike arguing that it is needed for growth.
CPI national secretary D Raja said the increase came at a wrong time when "when inflation is in double digits and price of food prices is at all-time high. It is yet another instance of UPA's insensitivity. We demand immediate roll back".
The Company executives, however, argued that they were losing about Rs 1.52 on a litre of petrol still due to fall of rupee despite fall of crude in international market.
If they are still losers -My submission is that this is the high time that government must think to stop all subsidy on oil & gas, and to accomodate the middle class -they must lower the Income tax slab from 10% to 8% and the poor must be given the one time help of Rs.750/- per month along with DA -as given to government employees- to all BPL card holder to fight with inflation as the government can not discourage the Auto companies to expand further lest people themselves switch over to public transport systems.
The whole India knows except the government of India that the subsidy which is given on kerosine oil actually go in hand of corrupt official & the carriers of Kerosine oil along with depot holder and poor is hardly benefited resulting creation of black money to the tune of approximately at least of rupees 10000 crore which again become tool of inflation in the hand of corrupt people. Under current Corruption has been running parallel economy , people know it but government does not stop & eradicate it.
So what RBI think and takes steps to control prices-parallel economy being run by corruption money are nullified but government don,t take steps to control generation of black money.
In fact, if government must introduce air-conditioned public transport systems all over the India, the masses can shift to that system gladly which can not only save more money in their hand but also save government foreign exchange at least not less than 25% a year due to fall of oil bill in a year.
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